Nearly half of Pershing Square Capital Management’s significant $14.6 billion in assets can be attributed to just three major players in the artificial intelligence (AI) space. With the AI sector soaring in popularity over the past three years, this trend has drawn considerable attention from some of Wall Street’s most prominent investors, including Bill Ackman, the firm’s founder. Ackman is known as an activist investor, often seeking to enhance shareholder value through strategic changes.
Detailed examination of Pershing Square’s portfolio shows that approximately 48% of its assets are concentrated in three major AI stocks, underscoring a clear commitment to the burgeoning AI market. This focus reflects a broader market trend as both individual and institutional investors increasingly recognize the transformative potential of AI across a variety of industries.
Alphabet: A Major Player in AI
At the forefront of Ackman’s holdings is Alphabet Inc. (GOOGL), which comprises a substantial 19% of Pershing Square’s investments. As of the end of the third quarter, the firm held nearly 11 million shares of both Class A and Class C stock in the company. Alphabet is widely recognized for its advancements in generative AI and large language models, which it has integrated into its Google Cloud services. These innovations have led to impressive sales growth, with a reported 47% year-over-year increase in Alphabet’s cloud segment.
In addition to its AI pursuits, Alphabet has a strong foundation in advertising, operating the world’s leading search engine and the second-most-visited platform via YouTube. This dominance provides Alphabet with significant pricing power and cash flow, enabling robust reinvestments in AI and other high-growth initiatives. As of late 2025, the company reported a staggering $126.8 billion in cash and equivalents, reinforcing its capacity to weather market fluctuations while pursuing groundbreaking technologies.
Amazon: The E-commerce Behemoth
Another cornerstone of Ackman’s strategy is Amazon (AMZN), which represents approximately 8.7% of his portfolio. Pershing Square holds more than 5.8 million shares in the e-commerce giant. Unlike Alphabet, where advertising plays a pivotal role, Amazon’s profitability largely stems from its cloud services division, Amazon Web Services (AWS). AWS leads the market in cloud infrastructure and has been leveraging AI to enhance its services, with a recent sales growth rate of 24%.
Amazon’s ecosystem extends well beyond retail; its Prime subscription service, featuring exclusive content, has significantly bolstered its advertising revenues, making it a multifaceted investment. The company ended 2025 with about $123 billion in cash, providing ample resources for future expansion in both AI and other high-value sectors.
Uber Technologies: Betting on Ride-sharing Innovation
Arguably Ackman’s most significant investment is in Uber Technologies (UBER). His holdings in the ride-sharing company amount to about 20% of his invested assets, with over 30 million shares. Uber dominates the U.S. ride-sharing market, commanding roughly 76% of it as of early 2024. This market is projected to expand dramatically, growing from an estimated $88 billion in 2025 to $918 billion by 2033.
AI plays a crucial role in Uber’s operations, facilitating price optimization, route mapping, and efficient driver-rider pairings. However, Uber’s business model transcends ride-sharing. The company also operates Uber Eats and its own logistics service, both of which integrate AI to drive efficiencies and enhance customer experience. As economic conditions fluctuate, these supplementary services position Uber to capitalize on a broad range of market opportunities.
In conclusion, the concentrated investments in Alphabet, Amazon, and Uber underscore Pershing Square Capital Management’s strategic focus on the AI sector. As market enthusiasm for AI continues to grow, the firm appears well-positioned to harness significant returns in this transformative space.
