5 Blue Chip Stocks Hedge Funds Love

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

Number of Hedge Fund Holders: 271

Amazon.com, Inc. (NASDAQ:AMZN) was the most popular blue chip stock in the Q1 database of Insider Monkey, which showed that 271 hedge funds were bullish on the company shares, as opposed to 279 hedge funds at the end of the fourth quarter. It was the third largest holding in billionaire Ken Fisher’s $169 billion portfolio, with his Fisher Asset Management owning a $7.7 billion stake in Amazon.com, Inc. (NASDAQ:AMZN) at the end of the first quarter of 2022.

June 6 marked the first trading day where Amazon.com, Inc.’s (NASDAQ:AMZN) 20:1 stock split came into effect, which was announced back in March. Shares were previously trading at above $2000, and were subsequently priced at $120. Splitting the price of an expensive, four-digit stock makes it more affordable to retail investors, and Amazon.com, Inc. (NASDAQ:AMZN) shares rose to $128 on the same day, before coming down to around $124.

MKM Partners analyst Rohit Kulkarni subsequently maintained a ‘Buy’ rating on Amazon.com, Inc. (NASDAQ:AMZN) shares, and a price target of $180 per share, split-adjusted roughly in-line with his prior target of $3,625. He views Amazon as the most diversified internet firm in the world, and ranks it as the best “safe haven” internet stock given the current economic uncertainty.

Baron Funds, an investment firm, talked about Amazon.com, Inc. (NASDAQ:AMZN) in its Q1 2022 investor letter. Here’s what it said:

“Jeff Bezos sums up the current market behavior well in his 2000 shareholder letter where he quoted Benjamin Graham’s famous statement that, in the short term, a stock market is a voting machine, while in the long term, it is a weighing machine, saying that Amazon (NASDAQ:AMZN) is a “company that wants to be weighed, and over time we will be – over the long term, all companies are. In the meantime, we have our heads down working to build a heavier and heavier company.”

We have a lot of conviction that our businesses are doing the same – working to build heavier and heavier companies.”

You can also take a look at 10 Best Shipping Stocks that Pay Dividends and 10 Best Dividend Stocks to Buy for Long Term Gains.

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