5 Tech Stocks Benefiting From The AI Boom

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

Number of Hedge Fund Holders: 243

Justin Post at Bank of America holds a Buy rating on Amazon.com, Inc. (NASDAQ:AMZN) as of June 12.

John Blackledge at Cown holds that Amazon.com, Inc. (NASDAQ:AMZN) provides many AI tools to Amazon Web Services customers, meaning the company can benefit from increasing demand for cloud-computing services.

There were 243 hedge funds long Amazon.com, Inc. (NASDAQ:AMZN) in the first quarter. Their total stake value was $25.8 billion.

This is what Baron Funds said about Amazon.com, Inc. (NASDAQ:AMZN) in its first-quarter 2023 investor letter:

“Amazon is probably the best example of a company that was built with an ability to rapidly adapt to change from its very inception. We have written a lot over the years about how Amazon’s culture and organizational structures prioritize and enable rapid innovation. Historically, programming code was written in a sequential waterfall fashion, creating significant interdependencies between different developer teams in the organization and slowing down innovation. Amazon famously required all developers to expose their work externally via standardized Application Programming Interfaces (APIs). A novel and risky approach, it enabled development teams to work in parallel, created a rapid feedback loop with customers, and turned Amazon into one of the most innovative companies in the world. The culture of constant experimentation and the willingness to take risks and fail fast (remember the Amazon Fire phone?) became the core pillars of the company’s culture and led to revolutionary ideas like third-party sales (letting competitors sell similar products alongside your own), Amazon Prime Video, and Amazon Web Services (AWS), making the company a disruptor and leader in multiple multi-trillion-dollar industries.”