10 Best Fundamental Stocks to Buy According to Billionaires

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

5-year Revenue Growth: 17.8%

5-year Net Income Growth: 38.5%

Number of Billionaire Investors: 40

Number of Hedge Fund Holders: 339

Monness analyst Brian White maintained the bullish stance on Amazon.com, Inc. (NASDAQ:AMZN)’s stock, providing a “Buy” rating on March 21. The analyst’s rating is backed by a combination of factors demonstrating the company’s strategic positioning and growth potential. Despite the short-term challenges, Amazon Web Services (AWS) remains well-placed to capitalize on the long-term trends in AI. Furthermore, the analyst added that Amazon.com, Inc. (NASDAQ:AMZN) has benefited from GenAI by training large language models, and the growth drivers are anticipated to expand further.

Notably, strong capital expenditures in AI infrastructure are expected, and AWS and other cloud service providers can be the leading beneficiaries. The expectations for increased inferencing activity further strengthen the healthy outlook for AWS, says White. Such factors, together with the broader industry trends related to the AI and cloud services, support the optimistic outlook for Amazon.com, Inc. (NASDAQ:AMZN)’s stock. In cloud computing, AI capabilities are expected to enhance AWS’ offerings as well as bring more enterprise customers.

Harding Loevner, an asset management company, released its Q4 2024 investor letter. Here is what the fund said:

“During the quarter, we benefited from strong stocks within the Communication Services and Consumer Discretionary sectors. In Consumer Discretionary, Amazon.com, Inc. (NASDAQ:AMZN) reported strong third-quarter results. Revenue increased by double digits, led by growth in advertising and Al products, while the company’s operating margins also hit an all-time high of 11%. The key reasons for the higher margins were that its international e-commerce operations turned profitable, and there was faster growth in its high-margin cloud-computing business.”

While we acknowledge the potential of AMZN as an investment, our conviction lies in the belief that some deeply undervalued AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for a deeply undervalued AI stock that is more promising than AMZN but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

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