Top 5 S&P 500 Stocks by Index Weight

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

Number of Hedge Fund Holders: 243

Index Weight: 3.064611%

Amazon.com, Inc. (NASDAQ:AMZN) ranks third on the S&P 500 index by weight. On June 22, Amazon.com, Inc. (NASDAQ:AMZN) announced that it will invest $100 million in AWS Generative AI Innovation Center, an initiative to support users in building and employing generative artificial intelligence solutions in their businesses. 

According to Insider Monkey’s first quarter database, 243 hedge funds were long Amazon.com, Inc. (NASDAQ:AMZN), compared to 240 funds in the earlier quarter. Boykin Curry’s Eagle Capital Management is a prominent stakeholder of the company, with 15.6 million shares worth $1.62 billion. 

Here is what Baron Durable Advantage Fund has to say about Amazon.com, Inc. (NASDAQ:AMZN) in its Q1 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.”