Is Amazon.com (AMZN) One of the Top AI and Technology Stocks to Buy According to Hedge Funds?

Amazon.com, Inc. (NASDAQ:AMZN) is one of the Top AI and Technology Stocks to Buy According to Hedge Funds. On December 5, Eric Sheridan, an analyst from Goldman Sachs, reiterated a “Buy” rating on the company’s stock. The associated price target was same at $290.00. The analyst’s rating is backed by a combination of factors associated with Amazon.com, Inc. (NASDAQ:AMZN)’s strategic positioning and growth potential. The recent AWS re:Invent conference showcased the company’s focus on leveraging its past achievements in cloud migration while embracing expected opportunities in AI.

Is Amazon.com (AMZN) One of the Top AI and Technology Stocks to Buy According to Hedge Funds?

The analyst further added that the rise of AI agents is expected to transform enterprise computing, and Amazon Bedrock would be playing a critical role in offering access to a diverse range of AI models.

In a different update, Guggenheim analyst Simeon Siegel initiated coverage on Amazon.com, Inc. (NASDAQ:AMZN)’s stock with a “Buy” rating and a price objective of $300. The company highlighted that the cash engine of AWS is showing no signs of slowing down. Notably, the ~3.8-year backlog of AWS reached $200 billion in Q3 2025.

Furthermore, the available power capacity doubled since 2022, with management expecting it to double again by 2027, added Siegel. Considering the unmatched infrastructure scale and demand visibility, the analyst opines that AWS remains well-placed to sustain leadership and tap a disproportionate share of the multi-year opportunity available in cloud computing and handling AI workloads.

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.

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Disclosure: None. This article is originally published at Insider Monkey.