Bill Ackman's 7-Year Decline of Chipotle Holdings and Rise of Top Holding

Bill Ackman, a billionaire investor, has sold 85% of his Chipotle Mexican Grill shares over the past seven years. Ackman's fund, Pershing Square Capital Management, has a concentrated portfolio of 11 stocks, and Chipotle was its No. 1 holding for eight of the last 32 quarters. Ackman has now shifted his focus to another industry leader, whose global addressable market is expected to soar by 900% by 2033, making it Pershing Square's top holding.

Bill Ackman, the billionaire founder of Pershing Square Capital Management, has long been a prominent figure in the world of activist investing, known for his massive, conviction-driven bets on undervalued stocks. Over the past seven years, Ackman's fund has sold 85% of its shares in Chipotle Mexican Grill (CMG), once its top holding for eight consecutive quarters Billionaire Bill Ackman Pumped $1.2 Billion Into Just 1 Stock (No, It’s Not Uber)^[1]. This significant divestment marks a strategic realignment for Pershing Square, as the billionaire investor shifts his focus to another industry leader with a promising future.

The new focus for Ackman is Amazon.com (AMZN), a tech giant whose global addressable market is expected to soar by 900% by 2033, making it Pershing Square's top holding. In the first quarter of 2025, Ackman launched a substantial stake in Uber Technologies (UBER), acquiring 30.3 million shares worth $2.21 billion. However, in the second quarter, he pivoted to Amazon, deploying $1.2 billion for 5.82 million shares, making it the fund's sole new buy Billionaire Bill Ackman Pumped $1.2 Billion Into Just 1 Stock (No, It’s Not Uber)^[1].

Ackman's entry into Amazon was not impulsive; it was a calculated move amid market jitters. The purchase was disclosed after Amazon's shares cratered over 30% from the start of the year, driven by generative AI hype and fears of U.S. tariffs under President Trump. Ackman liquidated a prized stake in Canadian Pacific (CP) to fund the move, prioritizing Amazon's superior prospects Billionaire Bill Ackman Pumped $1.2 Billion Into Just 1 Stock (No, It’s Not Uber)^[1].

Amazon's stock has since rebounded, trading at around $228 per share, just 6% shy of its all-time high. Despite this proximity to glory, the stock remains a winner for patient investors. Wall Street's median price target hovers at $264, implying 15% upside, fueled by diversified engines humming at peak efficiency Billionaire Bill Ackman Pumped $1.2 Billion Into Just 1 Stock (No, It’s Not Uber)^[1].

Amazon's second-quarter earnings underscored its strength, with total revenue surging 13% to $167.7 billion and operating income at $19.2 billion. AWS, Amazon's cloud juggernaut, posted $30.9 billion in Q2 revenue, up 17.5% year-over-year, powering about 53% of profits despite growing capital expenditures Billionaire Bill Ackman Pumped $1.2 Billion Into Just 1 Stock (No, It’s Not Uber)^[1].

Ackman's confidence in Amazon stems from its "moat-protected" duality: unbeatable e-commerce scale and AWS's cloud dominance, now supercharged by AI. He bought during fear, eyeing CEO Andy Jassy's margin magic and tariff toughness as catalysts for outsized returns Billionaire Bill Ackman Pumped $1.2 Billion Into Just 1 Stock (No, It’s Not Uber)^[1].

In conclusion, Ackman's shift from Chipotle to Amazon reflects his strategic realignment towards a tech giant with a promising future. Amazon's strong earnings, diversified revenue streams, and robust growth prospects position it as an attractive investment for long-haul investors betting on tech's future.