5 Best Diversified Stocks to Buy Now

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

Number of Hedge Fund Holders: 240

Amazon.com, Inc. (NASDAQ:AMZN) is a multinational technology conglomerate headquartered in Washington. The company went public in 1997 and sold music and videos along with books through a number of online sellers. However, it is now one of the largest companies in the world by market cap and has diversified its portfolio to include e-commerce, advertising, cloud computing, digital streaming platforms, and artificial intelligence.

Amazon.com, Inc. (NASDAQ:AMZN) is one of the most buzzing stocks to buy. In the fourth quarter of 2022, 240 hedge funds had a stake worth $27.5 billion, and Harris Associates took the top spot among hedge fund holders with 19.32 million shares worth $1.62 billion.

Here is what Artisan Partners had to say about Amazon.com, Inc. (NASDAQ:AMZN) in its Q4 2022 investor letter:

“Amazon.com, Inc. (NASDAQ:AMZN) is the world’s largest retailer. The company has gone through a period of massive investment as it doubled its fulfillment network and hired over 800,000 people to meet growing demand over the past few years. Capital expenditure (capex) in the 2017 to 2019 period was $10 billion – $17 billion per year before ramping up to $40 billion in 2020, $61 billion in 2021 and is expected to end 2022 at another $61 billion. We believe the company is in the later innings of this capex cycle and will be transitioning toward a period of harvesting those investments through higher margins and free cash flow generation. At a valuation that appears to be discounting a deteriorating environment for consumer spending, we decided to start a GardenSM position.”