While Everyone Is Selling, Bill Ackman Says Stocks Like Microsoft and Nvidia Are a Bargain

TLDR

• Bill Ackman says high-quality stocks are trading at “extremely cheap” prices right now
• Microsoft is at its lowest price in a decade; Nvidia is trading at a discount to the S&P 500 for the first time in 13 years
• Ackman called Fannie Mae and Freddie Mac “stupidly cheap” with potential 10X upside
• “Big Short” investor Michael Burry backed Ackman’s view, calling the opportunity “rare”
• Both Fannie Mae and Freddie Mac shares have fallen more than 60% over the past six months

Bill Ackman, the billionaire hedge fund manager behind Pershing Square, posted on X this weekend urging investors to buy stocks while others are selling. He said the ongoing Middle East conflict is “one-sided” and will “end well for the U.S. and the world.”

Ackman pointed to some of the world’s largest companies trading at unusually low prices. Microsoft is at its cheapest level in a decade. Nvidia is now trading at a discount to the S&P 500, ending a 13-year stretch of premium pricing.

NVIDIA Corporation, NVDA

His comments came as U.S. markets face pressure from rising tensions in the Middle East. President Trump is reportedly considering military operations to seize Iran’s uranium reserves or its main oil export terminal.

Either move could push oil prices higher and add to inflation concerns. That would make the Federal Reserve’s job harder and weigh on market sentiment further.

Despite the market pressure, Ackman told investors to look past the headlines. He said the conflict is creating a buying opportunity, not a reason to sell.

Ackman Targets Fannie Mae and Freddie Mac

Both stocks have dropped more than 60% over the past six months and recently hit their 52-week lows.

Ackman has a known interest in a restructuring of Fannie Mae and Freddie Mac, which he has pitched to the Trump administration.

Ackman’s Own Interests in the Market

Ackman is also in the middle of launching a new closed-end fund and bringing Pershing Square to U.S. public markets. The fund is expected to focus heavily on large technology companies.

That means a rise in tech stock prices would directly benefit Ackman’s plans. Critics may argue his public posts serve his own business interests.

Still, the data backs part of his case. Key economic reports this week could shape how investors respond. The Conference Board’s consumer confidence index is due Tuesday. The manufacturing purchasing managers’ index follows on Wednesday.

Friday’s jobs report is also on the calendar, though oil price movements tied to the Middle East may draw more attention from traders watching inflation data.

Fannie Mae and Freddie Mac shares remain near their 52-week lows as of Sunday.

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