These 2 Numbers Explain Why Warren Buffett and Bill Ackman Love Alphabet, Amazon, Microsoft, and Meta
Will hyperscalers' massive AI spending pay off for them?
Overview
Warren Buffett has quite an extensive fan base, and for good reason. He took a failing textile company called Berkshire Hathaway (NYSE: BRKA) (NYSE: BRKB) and turned it into a multinational holding company with a massive insurance operation at its center and a stock portfolio worth hundreds of billions of dollars. (He couldn't save the textile business, though.)
One of his fans is Bill Ackman, who aspires to build Howard Hughes Holdings into another Berkshire. He's still just getting started on that effort, acquiring an insurance business for the company this year. In the meantime, he runs a hedge fund firm, Pershing Square, which holds a concentrated portfolio of his top investment ideas.
Details
There's not much overlap between Ackman's portfolio and the portfolio Buffett left Berkshire investors with after he stepped down as CEO (at the end of 2025) and as chairman (this month). But there's one investment theme they agree on, and it explains why both men love Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL), Amazon (NASDAQ: AMZN), Microsoft (NASDAQ: MSFT), and Meta Platforms (NASDAQ: META). It all comes down to two numbers.
Source
Originally published at www.fool.com.