Goldman Sachs’ 35 AI Superstars

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

Number of Hedge Fund Holders: 286   

Amazon.com, Inc. (NASDAQ:AMZN) operates as a technology conglomerate with core interests in the ecommerce business. In the third quarter of 2024, Amazon reported net sales of $158.9 billion, an 11% increase from $143.1 billion in the same period the previous year. Net income rose to $15.3 billion, or $1.43 per diluted share, compared to $9.9 billion, or $0.94 per diluted share, in the third quarter of 2023. Amazon has been actively integrating AI across its services and operations. AWS offers a comprehensive suite of AI and machine learning services, including generative AI capabilities, enabling businesses to build and scale AI applications. In December 2024, Amazon announced a $50 million Generative AI Impact Initiative to support public sector organizations in accelerating innovation using AWS generative AI services and infrastructure. The company is also investing $11 billion in data centers and AI cloud infrastructure in Georgia, following a previous $18.5 billion investment in the state.

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

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