10 AI News You Should Not Miss

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1. Amazon.com, Inc. (NASDAQ:AMZN)

Number of Hedge Fund Holders: 286

Amazon.com, Inc. (NASDAQ:AMZN) applies AI to improve its shopping experience, entertainment offerings, and operations, while also advancing AI through investments in projects like Anthropic, collaborations with AWS, and the development of Tranium.

Scotiabank raised Amazon’s price target to $306 from $246, driven by expectations of accelerating growth in AWS, supported by secular trends and contributions from generative AI. While retail revenue estimates remain unchanged, there is potential for growth as e-commerce continues to expand its share of total U.S. retail sales. Operating margins are projected to improve due to cost discipline and efficient execution, though increased capital expenditures and depreciation slightly offset the estimate adjustments.

While we acknowledge the potential of Amazon.com, Inc. (NASDAQ:AMZN) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than AMZN but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

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