15 Best FAANG Stocks to Buy According to Hedge Funds

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

Number of Hedge Fund Holders: 328

Amazon.com, Inc. (NASDAQ:AMZN) ranks among the best FAANG stocks to buy according to hedge funds. On June 25, JPMorgan reaffirmed its $240 price target and Overweight rating for Amazon.com, Inc. (NASDAQ:AMZN), emphasizing the growing value of the company’s Prime membership service.

According to the investment bank, the expected value of a Prime subscription has increased steadily, from $544 in 2016 to roughly $1,345 in 2024 and now to almost $1,430 annually in 2025. JPMorgan’s study indicates that this valuation is around ten times the actual annual Prime subscription cost and marks a 6% rise from the firm’s 2024 projection.

The bank predicts that Amazon.com, Inc. (NASDAQ:AMZN) may raise the price of Prime in 2026, continuing the company’s practice of price increases about every four years, as was mirrored in its 2022 price update.

Amazon.com, Inc. (NASDAQ:AMZN) is a major technology company that runs the world’s largest e-commerce and cloud computing businesses. The company also offers digital streaming and AI technology.

While we acknowledge the potential of AMZN to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AMZN and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 10 Best Magic Formula Stocks for 2025 and 10 Best Retirement Stocks to Buy According to Hedge Funds.

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