In this article, we will take a look at the Top 10 Long-Term Stocks to Invest In According to David Tepper.
David Tepper founded hedge fund Appaloosa Management in 1993 and has a personal fortune worth $23.7 billion. Tepper’s two main investing principles are to seek out value and not worry about the common wisdom. Market sentiment plays zero role in his investment strategy as he focuses on undervalued stocks that offer sound fundamentals and growth prospects.
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Considering the current market situation, Tepper mentioned that he’s feeling constructive but pretty lousy about a good year for the U.S. stock market. On September 18, the veteran investor appeared on CNBC’s Squawk Box, a day after the Fed cut rates for the first time in nine months. “I am not fighting the Fed,” Tepper mentioned, adding “at least not in the near term.”
Pointing out to the economy that’s been holding up, he expects the Fed to cut rates twice more this year. Beyond that, it would be tricky to make rate cuts, considering the stocks that are already ‘not at cheap levels,’ he added. Moreover, Tepper has been following 10-year Treasury yields and 30-year mortgage rates as he believes that housing-related assets could see a further boost if rates fall. This could happen if the Trump administration convinces the Fed to adjust its policy concerning its agency mortgage-backed securities.
Moreover, Tepper sees Trump’s 25% to 50% tariff rates as a bit destructive for the economy. Appaloosa’s founder has exposure to energy stocks, Nvidia, and other AI players, as well as China. For his investments, Tepper said that he is having a really good year. Tepper sees potential in the market and cited that you have to stay for some of this party, because the punchbowl is still there.
With these trends in view, let’s take a look at the Top 10 Long-Term Stocks to Invest In According to David Tepper.
David Tepper
Our Methodology
To compile the top 10 long-term stocks to invest in according to David Tepper, we analyzed Appaloosa Management’s Q2 2025 13F portfolio. From the full list of holdings, we focused on companies that have been part of Appaloosa’s portfolio for at least five consecutive years. We have also mentioned hedge fund sentiment around these stocks using Insider Monkey’s database of Q2 2025. Finally, the stocks are ranked in ascending order based on the percentage of Appaloosa Management’s stake in each company.
Note: The data was collected on September 30.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
David Tepper Stock Portfolio: Top 10 Long-Term Stock Picks
10. MPLX LP (NYSE:MPLX)
Percentage of Portfolio Holding: 0.46%
Portfolio Holding Value: $29.80 Million
Number of Hedge Fund Holders: 13
MPLX LP (NYSE:MPLX) is one of the top 10 long-term stocks to invest in according to David Tepper. MPLX LP (NYSE:MPLX) is scheduled to release its Q3 2025 results on November 4, 2025.
Wall Street expects MPLX to post an average earnings per share of $1.10, while the revenue is estimated to be around $3.16 billion. During Q2, the company posted $1.03 in adjusted earnings and revenue of $3 billion, both figures missing consensus estimates.
On September 23, Wells Fargo analyst Michael Blum slightly lowered the price target on MPLX from $60 to $59, keeping its Overweight rating on the stock. Blum remains a little cautious regarding MPLX after the company announced the sale of its Rockies gathering and processing assets. The analyst expects that this will have an impact on the company’s future EBITDA. Blum has also updated its 2025/2025 EBITDA estimates, resulting in a slightly lower EBITDA forecast.
As of September 30, MPLX LP’s (NYSE:MPLX) average price target of $57, based on analysts’ estimates, implies an upside of approximately 14.11% from current levels.
MPLX LP (NYSE:MPLX) owns and operates midstream energy infrastructure and logistics assets mainly in the U.S. MPLX operates through two segments: Crude Oil and Products Logistics, and Natural Gas and NGL Services.
9. Energy Transfer LP (NYSE:ET)
Percentage of Portfolio Holding: 1.39%
Portfolio Holding Value: $89.87 Million
Number of Hedge Fund Holders: 36
Energy Transfer LP (NYSE:ET) is one of the top 10 long-term stocks to invest in according to David Tepper. On October 1, Wells Fargo reiterated its Buy rating on Energy Transfer LP (NYSE:ET), keeping the price target at $23.
Michael Blum from Wells Fargo kept the Buy rating on ET as the analyst added the firm’s Q4 2025 Tactical Ideas List. Blum sees several potential catalysts for Energy Transfer heading into the fourth quarter. The analyst believes that projects such as FID of Lake Charles could be a positive development for the company, while Desert SW pipeline could be expanded to 3 Bcf/d, adding further to Energy Transfer’s growth in the sector.
Blum also mentioned that Energy Transfer could announce a gas pipeline project linked to the Fermi America IPO, which could be a plus for the company.
As of September 30, Energy Transfer LP’s (NYSE:ET) average price target of $23, based on analysts’ estimates, implies an upside of almost 34.03% from current levels.
Energy Transfer LP (NYSE:ET), along with its subsidiaries, provides energy-related services in the U.S.
