Billionaire Paul Tudor Jones Thinks Massive Rally is Coming Ahead of Potential Downturn - Here's His Top AI Pick

We recently published 10 Trending Stocks to Watch As AI Bubble Warnings Heat Up. Apple Inc (NASDAQ:AAPL) is one of the trending stocks.

Billionaire Paul Tudor Jones recently warned that “ingredients” are in place for a massive stock rally before a potential downturn amid rising speculative behavior in the markets. The billionaire said investors should position themselves to take advantage of the bull run.

“Feels exactly like 1999. I don’t know whether we’ll actually replay it exactly, but I think all the ingredients are in place and certainly from a trading standpoint, you have to position yourself like it’s October 99.  I don’t see why you would do anything but that. And remember, the NASDAQ doubled between the first week of October 99 and March of 2000. So, if it looks like a duck and quacks like a duck, it’s probably not a chicken.”

How is Tudor Jones positioning amid the AI boom?

According to the SEC filings as of the end of the second quarter, Tudor Investment owns a $141.9 million stake in Apple Inc (NASDAQ:AAPL).

Columbia Threadneedle Global Technology Growth Strategy stated the following regarding Apple Inc. (NASDAQ:AAPL) in its second quarter 2025 investor letter:

“Finally, shares of technology bellwether Apple Inc. (NASDAQ:AAPL) underperformed the market and lost value as the company faced a classic innovator’s dilemma, which appeared all the more egregious as competitors embraced the AI opportunity. Apple has had a dominant market position in smartphones and services, but now more than ever, investors are questioning the future outlook for the company. Despite posting a negative absolute strategy return during the quarter, which weighed on absolute strategy returns, relative to Apple’s the company’s large position in the benchmark our underweight position proved to be a tailwind to relative results during the quarter.”

While we acknowledge the potential of AAPL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.