Billionaire Bill Ackman Is Buying Microsoft Stock. Is It Still the Best Artificial Intelligence (AI) Buy Today?
Microsoft's stock has skyrocketed since Q2 wrapped up.
Overview
Microsoft (NASDAQ: MSFT) has been an up-and-down investment in 2026. So far, it's basically flat for the year, teetering between a winning and losing investment from day to day. However, considering that the S&P 500 (SNPINDEX: ^GSPC) has returned more than 10% this year, that makes Microsoft a disappointing investment.
But if you scooped up shares during one of Microsoft's low points, like in April or at the end of June, you're a happy investor. If you bought Microsoft stock on the last day of June, you're up 30% on your investment. That's a stark contrast from where investors entered the year, but could it be a smart investment moving forward?
Details
One long-term-minded hedge fund manager is Bill Ackman, who runs Pershing Square Capital Management. His firm increased its Microsoft stake by nearly 10% in the quarter and now holds it as its third-largest position, accounting for nearly 12% of the fund's portfolio. That's a huge vote of confidence in Microsoft, but that information was as of the end of the second quarter on June 30. It has clearly risen a lot since then, so is it still a smart buy?
Source
Originally published at www.fool.com.