In this article, we will discuss Billionaire Ken Fisher’s Latest Portfolio: 5 Best AI Stocks to Buy. Please visit Billionaire Ken Fisher’s Latest Portfolio: 10 Best AI Stocks to Buy, if you would like to see the extended list and the methodology behind it.
Ken Fisher of Fisher Asset Management
5. Amazon.com Inc (NASDAQ:AMZN)
Billionaire Ken Fisher’s Stake: $7.75 billion
AWS remains the biggest long-term growth catalyst for Amazon.com Inc (NASDAQ:AMZN) because it holds roughly 30–32% share of the global cloud infrastructure market, maintaining its position as the largest provider ahead of Microsoft Azure and Google Cloud. AMZN ranks fifth in our list of the best AI stocks to buy according to Billionaire Ken Fisher.
But how does AWS benefit from the rise of AI usage around the world? Businesses often prefer AWS because of its scale, reliability and long operating history, while the AWS segment typically generates operating margins estimated at around 30%, significantly higher than traditional retail margins. AWS also benefits from high switching costs and long-term contracts, as migrating enterprise systems can cost millions and take years, helping maintain stable recurring revenue.
AWS also has another moat: its ecosystem of services. Unlike Microsoft Azure and Google Cloud, AWS offers 240+ cloud services, allowing companies to build, train and deploy AI models, store data, run applications and manage cybersecurity within one platform, increasing switching costs and strengthening customer lock-in over time.
E-commerce and ads are strong growth fundamental catalysts for the stock. Amazon.com Inc (NASDAQ:AMZN) controls roughly 40% of U.S. e-commerce, which gives the company access to consumer purchase data. This creates a goldmine for advertisers to target users, and Amazon.com Inc (NASDAQ:AMZN) is tapping into that opportunity. Amazon’s ad segment has been growing around 20% annually in recent years and already generates tens of billions in yearly revenue, making it one of the largest digital advertising platforms behind Google and Meta.
TCW Relative Value Large Cap Fund stated the following regarding Amazon.com, Inc. (NASDAQ:AMZN) in its fourth quarter 2025 investor letter:
“Amazon.com, Inc. (NASDAQ:AMZN) is a $2.3 trillion internet company headquartered in Seattle, WA. Amazon.com is an online retailer that also offers personalized shopping services, web-based credit card payment, and direct shipping to customers. AMZN is the largest e-commerce platform in the US with a ~40% market share. Amazon’s secret sauce is their logistics infrastructure that allows for superior delivery times and lower costs than peers, which they use to delight their loyal Prime membership base. Amazon also operates a cloud platform offering services globally through Amazon Web Services (AWS), a fantastic second business with growth opportunities in cloud migrations and AI workloads. Advertising is increasingly important to the overall business with nearly $70 billion of annualized revenues, driven by Sponsored Listings as well as Fire TV/Prime Video ad inventory (e.g., during Thursday NFL games). At initiation in October 2025, shares of AMZN met two of the five valuation factors (price-to-sales; price to-cash flow).
The investment catalyst is new products/markets. AWS has been less impacted by the wave of AI spending than its hyperscale peers as they have top heavy clients that are particularly driving growth (i.e., OpenAI for MSFT† Azure). However, it is set to close the gap as corporates and start-ups begin to scale their inference workloads as they introduce AI-powered products. Additionally, AWS is supply constrained but is set to get significantly more capacity in the next 6-12 months, both from third party providers like NVDA as well as their own custom-designed silicon (Trainium 2). On the retail side, the company is demonstrating operational excellence with consistent improvements in its cost to serve. We expect this to continue and receive a mix benefit as advertising continues to grow as a percent of its North America and International segments. As Amazon leadership execute these strategic initiatives, the company can grow cash flow and earnings materially over the medium term.”
4. Alphabet Inc. (NASDAQ:GOOGL)
Billionaire Ken Fisher’s Stake: $11.93 billion
Alphabet Inc. (NASDAQ:GOOGL) is sitting on $242.8 billion in signed contracts and subscriptions (RPO), up 55% quarter over quarter. Despite AI-related fears that chatbots will eat search traffic, AI features are helping the company monetize in new ways: AI-powered search answers can include sponsored content, YouTube’s AI recommendations increase watch time and ad impressions, and enterprise clients pay for AI tools through Google Cloud and Workspace. The stock trades at roughly 25× forward earnings, close to the tech sector average and slightly below peers like Microsoft and Amazon, putting it in a reasonable valuation range after the recent selloff.
Gemini ecosystem is Google’s answer to saving its search business in the long term. Gemini now has over 750 million monthly active users. The company is testing ads inside AI-generated answers and showing sponsored links below AI responses. Some analysts believe ads in Gemini could convert better compared with the tradtional mode. Google uses AI to better identify commercial intent, with early data indicating engagement levels comparable to traditional search ads. AI queries are typically three times longer and more detailed, helping Google better understand user intent and deliver more relevant, higher-priced ads, particularly in high-value areas such as shopping, travel, finance, and local services where monetization remains strongest.
GOOG ranks fourth in our list of the best AI stocks to buy according to Billionaire Ken Fisher.
Montaka Global Investments stated the following regarding Alphabet Inc. (NASDAQ:GOOGL) in its Q4 2025 investor letter:
Alphabet Inc. (NASDAQ:GOOGL) has large, valuable core businesses that are clear beneficiaries of larger and more powerful AI models. Therefore, any ‘excess’ capacity that might materialise from the data centre buildout over the coming years will more rapidly be absorbed by their internal needs. So overall, we see the existence of large, tech/AI-enabled non-cloud businesses attached to the hyperscalers, not as a risk, but as a major strategic advantage (Click here to see the full text).
3. Microsoft Corp (NASDAQ:MSFT)
Billionaire Ken Fisher’s Stake: $12.24 billion
Microsoft Corp (NASDAQ:MSFT) shares are down 21% so far this year. Despite recent market skepticism about its AI narrative, Microsoft Azure rose 39% year over year in the most recently reported quarter. After the recent sell‑off, the stock now trades near 22 times trailing earnings and at about 21 times forward earnings, its cheapest valuation in roughly a decade.
Analysts expect 12–15% annual revenue growth for Microsoft (NASDAQ:MSFT) over the next few years, led by cloud expansion, subscription services, and increasing AI monetization, while EPS is projected to grow at a low‑to‑mid‑teens pace as operating leverage improves across high‑margin software businesses.
Magellan Global Fund stated the following regarding Microsoft Corporation (NASDAQ:MSFT) in its fourth quarter 2025 investor letter:
“The largest detractors to the portfolio’s performance over the quarter were Microsoft, Netflix and Microsoft Corporation (NASDAQ:MSFT). After performing strongly earlier in the year on accelerating growth in Azure, Microsoft gave back some of the strong performance. This was driven primarily by moderating optimism on Microsoft’s AI positioning via its close relationship with OpenAI due to strong execution at Google and Anthropic. While short-term relative performance will continue to be affected by shifting views on AI positioning, taking a longer-term perspective, we view all of the incumbent cloud providers as winners of the increased adoption of AI applications.”
2. Apple Inc. (NASDAQ:AAPL)
Billionaire Ken Fisher’s Stake: $14.99 billion
Despite all the talk of a lack of an AI strategy and slowing iPhone sales growth, Apple Inc. (NASDAQ:AAPL) stock is becoming a staple and an essential part of major billionaires’ portfolios like Ken Fisher and Warren Buffett. The biggest stamp of approval on Apple’s turnaround came from Buffett, who admitted in a March 2026 interview that he sold a significant portion of his stake “too soon” and would consider buying back “a whole lot” if the price were lower, effectively acknowledging the enduring strength of the business.
Apple Inc. (NASDAQ:AAPL) has 2.5 billion active devices globally, giving it a sticky ecosystem that acts as an automated recurring revenue machine. This massive installed base allows Apple to monetize users through high-margin subscriptions regardless of individual hardware upgrade cycles.
Apple Inc’s (NASDAQ:AAPL) transition toward a high-margin, recurring service business is also going as planned. The business now accounts for roughly 21% of Apple’s overall revenue and has become a $100 billion a year business.
With over $200 billion in cash and a long history of consecutive dividend growth, Apple Inc. (NASDAQ:AAPL) can make strategic moves to maintain market dominance while also expanding into other high-margin businesses like services, wearables, and emerging tech.
RiverPark Large Growth Fund stated the following regarding Apple Inc. (NASDAQ:AAPL) in its fourth quarter 2025 investor letter:
“Apple Inc. (NASDAQ:AAPL): AAPL shares rose in 4Q25 following better-than-feared iPhone 17 sell-through trends and stronger Services momentum. The company reported that early adoption of its on-device AI features exceeded internal expectations, particularly in North America and Europe, where attach rates for Pro models remained elevated. Wearables also returned to growth, helped by new health features and improved battery life. While macro softness in China remained a headwind, investors responded positively to evidence of content and advertising revenue re-acceleration within the Services segment, which delivered double-digit growth.
We continue to view Apple as one of the world’s most resilient and profitable businesses, supported by a massive installed base, ecosystem lock-in, and growing high-margin revenue streams. As Apple Intelligence features proliferate across devices, we expect multi-year upgrades, improved monetization, and expanded recurring revenue. With strong cash generation, ongoing share repurchases, and disciplined capital allocation, Apple remains a compelling long term investment.”
1. Nvidia Corp (NASDAQ:NVDA)
Billionaire Ken Fisher’s Stake: $16.05 billion
Tech companies continue to increase their AI spending plans, chip demand is rising and yet the market seems to have gone numb to the positive news cycle for Nvidia Corp (NASDAQ:NVDA) when it comes to the stock price. Nvidia shares are down about 4.5% over the past six months. But Nvidia Corp (NASDAQ:NVDA) bulls believe the stock is still a good buy for the long term and will rebound once the geopolitical tensions and AI bubble fears recede. How?
Nvidia Corp (NASDAQ:NVDA) chip demand can continue to rise due to its new Vera Rubin (R100) architecture, which is optimized for agentic AI. Companies are moving from simply training models to running them at scale, which supports Nvidia’s expectation that its data center revenue could hit $1 trillion.
Some believe Nvidia’s Corp (NASDAQ:NVDA) valuation has finally become attractive for long-term investors to move in. The stock has a forward P/E of roughly 20x to 22x, almost in line with that of the S&P 500. According to Goldman estimates, Nvidia is expected to drive 21% of the total earnings growth for the S&P 500 in 2026. With Big Tech companies expected to spend a whopping $600 billion on capital expenditures in 2026 alone and new AI use cases coming, Nvidia Corp (NASDAQ:NVDA) remains an attractive buy at the current levels.
Baron Opportunity Fund stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its fourth quarter 2025 investor letter:
“At Baron, we are deep research, evidence-based investors. We are positive about AI because it is real. It is the most significant change to the global economy since the internet itself. Every digital interaction of today forward will have AI as the brains of the application. We have investments across all the layers of the AI stack and spanning industries. Our most successful investments to date have been in the infrastructure or compute layer. We were early investors in NVIDIA Corporation (NASDAQ:NVDA), over four years before the ChapGPT moment of November 2022, and it has been more than a 10-bagger for the Fund. Several of us spent a full day with founder and CEO Jensen Huang in the Fall of 2018, where he went to the white board to teach us about AI and why NVIDIA would win.”
While we acknowledge the potential of NVDA 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 NVDA and that has 100x upside potential, check out our report about the cheapest AI stock.
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