Investment tycoon Druckenmiller buys Chinese stocks for the first time in two years, significantly increases holdings in Amazon and AMD, sells all shares in Broadcom, Intel, and Micron

Legendary investor Stanley Druckenmiller carried out a dramatic overhaul of the investment portfolio at his Duquesne Family Office in the second quarter this year, an action that drew widespread attention from the market.

The latest disclosed 13F filing shows that Druckenmiller bought Chinese concept stocks for the first time in about two years, acquiring 88,000 shares of Baidu, while increasing his Amazon holdings by over 1000% and initiating a new position in AMD. Meanwhile, he completely liquidated his positions in Broadcom, Intel, and Micron, fundamentally reshaping his technology sector holdings.

This rebalancing reflects Druckenmiller’s continued bet on AI infrastructure and large technology platforms, and also signals a marginal shift in his attitude toward Chinese tech stocks—his firm had fully exited its Alibaba ADR position in the fourth quarter of 2023.

First Chinese Concept Stock Position in Two Years, Baidu as the Entry Point

Druckenmiller purchased 88,000 shares of Baidu in the second quarter, marking his institution’s first re-entry into Chinese concept stocks after liquidating Alibaba, indicating a notable shift in his stance toward the Chinese technology sector.

However, this position currently only accounts for 0.2% of Duquesne’s overall portfolio, making it relatively small and more of an exploratory move.

Baidu is a leading Chinese-language Internet search engine in China, with revenue mainly from online marketing via its search engine. It also owns the video streaming subsidiary iQIYI, and continues investing in AI cloud infrastructure and autonomous driving. The company’s current market capitalization is approximately $35.16 billion.

From a valuation perspective, Baidu’s current price-to-sales ratio (P/S) is significantly above its historical median of around 2.7x, and since the company is currently running at a loss with negative cash flow, traditional profitability metrics like price-to-earnings (P/E) are not applicable.

According to GuruFocus data, Baidu’s GF Value™ estimate is $108.51, about 4.5% above its current price of $103.67, suggesting some undervaluation, though analysts note that this indicator is mainly for directional reference.

On the institutional side, 11 well-known investors now hold positions in Baidu, with 5 recently increasing and 6 reducing their stakes, reflecting a clear divergence in sentiment.

Amazon Holdings Surge Over 1,000-Fold, Alphabet Position Newly Established

Druckenmiller’s moves were even more significant in the US technology sector. Duquesne dramatically increased its Amazon holdings from a very low base to 541,600 shares, a growth of over 1,000%, and more than doubled the scale of Amazon call options, reflecting strong bullishness on the e-commerce and cloud computing giant.

Meanwhile, Duquesne established a new position of 336,300 shares in Alphabet Class A, as well as adding call option positions in Meta Platforms and Tesla. These moves suggest Druckenmiller is concentrating his bets on large technology platforms with AI capabilities.

Completely Exits Broadcom, Intel, and Micron; Major Semiconductor Holding Reshuffle

The semiconductor sector saw the most dramatic reshuffle in this reallocation. Duquesne fully exited all previously held semiconductor stocks—Broadcom, Intel, and Micron Technology—while initiating a new position of 72,900 shares in AMD and further increasing its existing holding in TSMC.

This action reveals Druckenmiller’s distinct logic within semiconductors: abandoning Broadcom, Intel, and Micron, instead betting on AMD and TSMC, the latter two being more directly tied to AI computing infrastructure.

Betting on Data Center Infrastructure, Aggressively Expanding Airline Holdings

Beyond technology, Druckenmiller also ventured into data center infrastructure. Duquesne purchased over 4 million shares of Bitdeer Technologies Group and established a new position of 754,800 shares in Riot Platforms, both closely related to cryptocurrency mining and data center computing infrastructure.

The airline sector also saw major allocation moves. Duquesne established a new position of 603,000 shares in Delta Air Lines and nearly tripled its United Airlines holdings to 794,800 shares. In addition, the firm established a new position of about 2.8 million shares in Fox Corp.

Simultaneously Reducing or Liquidating Multiple Positions

While expanding the above positions, Duquesne also made significant reductions in others. The firm completely exited Cloudflare and MercadoLibre and reduced holdings in Alcoa and Arm Holdings by over 70% each.

Overall, Druckenmiller’s portfolio adjustment strategy this quarter is clear: concentrate resources on AI platforms and infrastructure, systematically reduce positions in traditional semiconductor and some previously held tech and commodity-related stocks, and make a tentative return to Chinese concept stocks with small positions.