Key Takeaways
Table of Contents
- Pershing Square, managed by Bill Ackman, has revealed a new stake in Microsoft, describing the current price as a “highly compelling valuation”
- The hedge fund started accumulating shares in February 2026 following a post-earnings decline
- Ackman’s newly launched closed-end fund, Pershing Square USA, which began trading on the NYSE in April 2026, has similarly established Microsoft as a significant holding
- Shares of Microsoft have declined over 15% year-to-date as market participants express concern about the company’s AI competitive standing relative to Google and Amazon
- This investment continues Pershing Square’s strategy of building positions in major technology companies, including Meta, Amazon, and Alphabet
Billionaire investor Bill Ackman revealed Friday that his hedge fund Pershing Square has established a position in Microsoft (MSFT), describing the tech behemoth as attractively valued following its more than 15% decline in 2026.
The activist investor shared news of the investment via X, noting that Pershing Square’s mandatory 13F disclosure — scheduled for filing later that day — would officially document the new holding. According to Ackman, his firm started building the position in February after shares retreated following an earnings report.
“In our 13F which we will file later today, we will disclose a new position in Microsoft, a company we have followed for many years now offered at a highly compelling valuation,” Ackman wrote.
Shares of Microsoft climbed approximately 1% on Friday following Ackman’s announcement. Prior to Friday’s trading session, the stock had experienced significant headwinds throughout 2026, declining more than 15% since the beginning of the year.
The year-to-date weakness stems primarily from market anxiety that Microsoft’s early advantage in artificial intelligence is diminishing. Competing tech giants Google and Amazon have demonstrated significant advancement in their respective AI initiatives, prompting investors to question whether Microsoft’s first-mover advantage remains intact.
New Closed-End Fund Makes Microsoft a Core Holding
Ackman’s recently established closed-end investment vehicle, Pershing Square USA, which commenced trading on the New York Stock Exchange in late April 2026, has similarly included Microsoft among its primary investments. This entity operates independently from his flagship hedge fund.
The fund’s public market launch occurred just weeks prior to the Microsoft position disclosure, meaning two distinct Pershing Square investment vehicles now hold shares simultaneously.
Expanding Technology Sector Exposure
The Microsoft investment aligns with Ackman’s broader strategic direction. The hedge fund manager has systematically expanded his exposure to leading technology companies in recent years.
In February 2026, Pershing Square revealed an investment in Meta, expressing confidence in the social media giant’s AI push. Previously, the fund took positions in Amazon, while Alphabet joined the portfolio in late 2022.
Microsoft represents the newest component of this technology-focused investment thesis. Ackman has not yet disclosed the dollar value or share count of the Microsoft holding.
The February entry point capitalized on post-earnings weakness when Microsoft reported quarterly results and shares subsequently declined. Ackman characterized the valuation during that period as exceptionally attractive.
Microsoft has continued experiencing selling pressure since then. The stock’s 15%-plus year-to-date decline reflects ongoing market concerns regarding AI competitive dynamics rather than transient volatility.
Ackman has not publicly stated a price objective for Microsoft shares or indicated the anticipated holding period for the investment.
The quarterly 13F filing, which documents Q1 2026 portfolio holdings, was submitted to the Securities and Exchange Commission on Friday and provides complete details regarding the position’s size.
