<p>Warren Buffett's hand-picked successor as CEO of <strong>Berkshire Hathaway</strong> <span class="ticker-mention inline-flex items-center font-bold">(BRKA <span class="ml-1 text-green-900">+0.85%</span>)</span> <span class="ticker-mention inline-flex items-center font-bold">(BRKB <span class="ml-1 text-green-900">+1.18%</span>)</span>, Greg Abel, is already revealing how he will invest the conglomerate's mountain of cash. Meanwhile, billionaire David Tepper continues to show how he earned a reputation as one of the top hedge fund managers. And both men took very different approaches with the same stock in the first quarter of 2026.</p>
<p>Abel completely exited Berkshire's position in <strong>Amazon</strong> <span class="ticker-mention inline-flex items-center font-bold">(AMZN <span class="ml-1 text-green-900">+0.27%</span>)</span> in Q1. Tepper, on the other hand, nearly doubled Appaloosa Management's stake in the e-commerce and cloud stock. Amazon ranks as his top holding, by far. </p>
<p>I think one of them is about to look very smart.</p>
<div><img alt="An Amazon worker carrying a package." width="880" height="528" src="https://imageproxy.pbkrs.com/https://g.foolcdn.com/image//query-b3A9cmVzaXplJnVybD1odHRwczovL2cuZm9vbGNkbi5jb20vZWRpdG9yaWFsL2ltYWdlcy84NzA3MTkvYW1hem9uLWZsZXgtZHJpdmVyLWRlbGl2ZXJpbmctcGFja2FnZS10by1kb29yLXN0ZXAucG5nJnc9Mzg0MA?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" original-src="https://imageproxy.pbkrs.com/https://g.foolcdn.com/image//query-b3A9cmVzaXplJnVybD1odHRwczovL2cuZm9vbGNkbi5jb20vZWRpdG9yaWFsL2ltYWdlcy84NzA3MTkvYW1hem9uLWZsZXgtZHJpdmVyLWRlbGl2ZXJpbmctcGFja2FnZS10by1kb29yLXN0ZXAucG5nJnc9Mzg0MA"/>
<p>Image source: Amazon.</p>
</div>
<h2>Why two opposite moves with the same stock?</h2>
<p>We can only speculate on why Abel dumped Berkshire's Amazon shares while Tepper loaded up on the stock. However, I think we can make pretty good guesses.</p><div><div id="foolcom_sidebar_top_container"></div></div>
<p>My hunch is that Abel's move to sell Amazon is easily explained. Amazon was likely one of the stocks Todd Combs picked. Combs left Berkshire in January 2026 to head <strong>JPMorgan Chase</strong>'s <span class="ticker-mention inline-flex items-center font-bold">(JPM <span class="ml-1 text-green-900">+0.98%</span>)</span> $10 billion Strategic Investment Group. Berkshire appears to have sold all of the positions managed by Combs. </p><div></div>
<p>As for Tepper's move, I strongly suspect that the billionaire hedge fund manager aggressively bought Amazon shares after the stock's sharp decline in February. Tepper probably saw an opportunity to buy a great stock at a discount. </p><div><div id="in_line_article_pitch_container"></div></div>
<section><div><div><div><small><div>Expand</div></small></div><div><img alt="Amazon Stock Quote" width="64" height="64" src="https://imageproxy.pbkrs.com/https://g.foolcdn.com/image//query-b3A9cmVzaXplJnVybD1odHRwczovL2cuZm9vbGNkbi5jb20vYXJ0L2NvbXBhbnlsb2dvcy9tYXJrL0FNWk4ucG5nJnc9MTI4?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" original-src="https://imageproxy.pbkrs.com/https://g.foolcdn.com/image//query-b3A9cmVzaXplJnVybD1odHRwczovL2cuZm9vbGNkbi5jb20vYXJ0L2NvbXBhbnlsb2dvcy9tYXJrL0FNWk4ucG5nJnc9MTI4"/></div><div><h2>NASDAQ: AMZN</h2><div>Amazon</div></div></div><div><div><div>Today's Change</div><div>(0.27%) $0.72</div><div>Current Price</div><div>$264.86</div></div><div></div></div></div><div><div></div><div><h3>Key Data Points</h3><div><div>Market Cap</div><div>$2.8T</div><div>Day's Range</div><div>$262.53 - $268.85</div><div>52wk Range</div><div>$196.00 - $278.56</div><div>Volume</div><div>55K</div><div>Avg Vol</div><div>46M</div><div>Gross Margin</div><div>50.60%</div></div></div></div></section>
<p>A quick look at his Appaloosa hedge fund's portfolio shows that it's heavily weighted toward AI stocks. Amazon is one of the biggest AI stocks, with Amazon Web Services (AWS) continuing to claim the No. 1 share of the cloud services market. </p>
<p>Amazon's Q1 sell-off stemmed primarily from the company's increased investment in expanding its AI infrastructure. Tepper possibly (and I'd bet probably) views these investments as shrewd strategic moves. He could have believed that the market was punishing Amazon unfairly for investing in growth. </p>
<h2>Who's about to look very smart?</h2>
<p>I don't blame Abel for wanting to do some housecleaning and selling several relatively small holdings in Berkshire's portfolio, of which Amazon was one. With Combs now at JPMorgan Chase, exiting the positions that he managed makes sense.</p>
<p>However, I predict that Tepper will look very smart for doubling up on Amazon. Actually, he's probably already looking quite astute, assuming he bought on Amazon's pullback in February or March. The stock is up more than 20% since the end of Q1. Tepper's decision to dramatically increase his stake in Amazon could appear to be even more brilliant in retrospect as the company continues to monetize its AI infrastructure investments and expand into the satellite internet services market.</p>
<p></p>
<p></p><div id="article_pitch_container"></div><div id="promobox_container"></div>

AMZN

BRK.A

BRK.B

AMZU

AMZW

<p>Greg Abel, CEO of Berkshire Hathaway, sold all Amazon shares in Q1 2026, while hedge fund manager David Tepper nearly doubled his stake in the company. Abel's decision may stem from a portfolio clean-up after Todd Combs' departure, while Tepper likely capitalized on Amazon's stock decline, viewing it as a buying opportunity. Tepper's strategy appears promising as Amazon's stock has risen over 20% since then, bolstered by its investments in AI and satellite internet services.</p>

- Greg Abel, the new CEO of Berkshire Hathaway, sold the company's shares in Amazon in Q1 2026, while David Tepper of Appaloosa Management increased his stake in the same stock.  
- Abel's decision likely stems from a strategy to exit positions managed by Todd Combs, who departed to lead JP Morgan's Strategic Investment Group.  
- Tepper, viewing Amazon's investments in AI as opportunities, might benefit from the stock's recovery, which has climbed over 20% since the end of Q1.

Motley Fool

Amazon

Berkshire Hathaway

Berkshire Hathaway B

Direxion Daily AMZN Bull 2X Shares

Roundhill AMZN WeeklyPay ETF

JPMorgan Chase

JPMORGAN CHASE & CO. 4.20% DEP SHS REPSTG 1/400TH PFD SER MM

JPMORGAN CHASE & CO. 6%NON CUM DEP SHS REP 1/400TH PFD SER EE

JPMORGAN CHASE & CO. DEP REP 1/400TH (5.75% NON CUM PFD DD)

JPMORGAN CHASE & CO. 4.625% DEP SH RE 1/400TH INT NO CU PF LL

JPMorgan Chase & Co.

JPMORGAN CHASE & CO. 4.55% DEP SHS REPSTG 1/400TH PFD SER JJ

JPMORGAN CHASE & CO. 4.75 DEP SHS REP 1/400 NCUM PFD SR GG

Greg Abel Just Dumped Amazon. David Tepper Nearly Doubled His Stake. One of Them Is About to Look Very Smart.