Amazon (AMZN) has emerged as a top trader pick, and the market appears to be bounced back in the short term. While e-commerce juggernauts still do not have a shortage of macroeconomic factors that keep prices at bay, there is a future profit, an attractive means of interesting top investors. One of these investors who have made billions in his career is David Tepper. The founder of Appaloosa Management has made many sensible investments in his career, and one of the things that still actively provide profits is Amazon (AMZN).
Amazon’s Appaloosa Management currently has approximately $570.41 million in stock. By the end of the fourth quarter of 2024, Appaloosa Management had held 2.6 million shares in Amazon, exceeding $570 million. The company’s hedge fund position has also grown significantly, with 339 of the 1,009 funds rising from 286 in the last quarter. Meanwhile, in the fourth quarter, Tepper sold 600,000 shares of Amazon Stock, trimmed a 19% position.
If you invested in Amazon (AMZN) five years ago, your ROI at current prices means a profit of over 40%. But it also accounts for the recession the market has seen for the past three to four months due to tariff concerns. If that market collapse did not occur, AMZN shares had seen nearly 90% ROI in 2025. Since April 2005, stocks have risen 10,590%.
Despite the slow start to 2025, several experts are bullish on Amazon stocks. Analysts at Morgan Stanley hope that even as the US stock market continues to slow down, Amazon (AMZN) and its stocks will increase growth. The company’s analysts have recently reduced Amazon’s revenue and estimates for cloud services growth, cutting AMZN stock price targets. Nevertheless, the company maintains its “overweight” rating of its stock, indicating that the company may quickly revise its new stock forecast and improve its improvements.
Most investors are familiar with Amazon’s online sales platform. The business is diverse, with low prices and fast delivery taking a key focus. According to Statista, 38% of all online retail sales in the US are represented by Amazon. Given that e-commerce is less than 17% of retail sales in the country, there should still be a great opportunity for Amazon to capture.
