Major hedge funds increased Amazon holdings in Q1, citing strong AWS revenue growth and AI-driven infrastructure spending.
Billionaire hedge fund managers significantly expanded their positions in Amazon during the first quarter, with David Tepper’s Appaloosa Management nearly doubling its stake. Bill Ackman’s Pershing Square added nearly 2 million shares, while Larry Robbins’ Glenview Capital now holds a 6% fund allocation in Amazon, making it a top portfolio holding.
Amazon’s cloud computing unit, AWS, reported a 28% year-over-year revenue increase in Q1, its strongest growth in nearly four years. AWS accounted for 59% of Amazon’s operating income, driven by surging demand for AI-related computing resources. The company plans to invest $200 billion in data center infrastructure this year to support expansion.
Despite a 30% stock rise since March 31, hedge funds remain bullish on Amazon’s long-term prospects, particularly in AI and cloud services.