10 Best Stocks to Invest in According to Billionaire Cliff Asness

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

AQR Capital Management’s stake as of Q3: $927.6 million

The world leader in e-commerce, cloud computing, streaming, and online shopping, Amazon.com Inc. (NASDAQ:AMZN) is advancing artificial intelligence through partnerships with the U.S. government and companies like Anthropic for AI model testing.

Amazon.com Inc. (NASDAQ:AMZN) announced plans for Amazon Web Services (AWS) to invest roughly $11 billion in expanding its infrastructure in Georgia on January 7. With this investment, AWS, a significant source of revenue for Amazon, is expected to strengthen its position as the industry leader.

On January 3, analyst Shweta Khajuria of Wolfe Research reaffirmed her optimistic outlook for AMZN, keeping an Outperform rating and increasing the stock’s price target from $250 to $270. The optimism is predicated on several important growth factors, such as increased advertising income, continued global profitability, and enhanced retail margins from automation and operational savings. Wolfe Research initially named Amazon.com Inc. (NASDAQ:AMZN) was ranked as a top pick by Wolfe back in July 2024, and the revised price target shows ongoing faith in the company’s capacity for expansion.

Amazon.com Inc. (NASDAQ:AMZN) reported net sales of $158.9 billion in fiscal Q3 2024, an 11% year-over-year increase driven by AWS’s impressive growth. The company’s Q4 projections, which show continued progress across all its business areas, range from 7% to 11% year-over-year.