Amazon(AMZN) The Motley Fool·2025-04-09 08:30Core Insights - Retail investors have a significant opportunity to align with wealthy money managers, as many billionaires are currently investing in Amazon [1][2] - A notable group of nine billionaires, including Warren Buffett, have disclosed positions in Amazon, collectively holding investments worth approximately 247 billion in sales last year, with third-party seller services contributing 44 billion [8] - The advertising business generated 108 billion in revenue last year, benefiting from increased spending on artificial intelligence [10] Financial Performance - Amazon has been improving its operating margins through investments in logistics and has produced substantial free cash flow, allowing for reinvestment in growth opportunities [11] - The stock has seen a decline of over 25% from its all-time high earlier this year, presenting a potential buying opportunity for investors [16] Market Position - Despite rising global trade tensions, Amazon is well-positioned to gain market share by offering superior service and pricing [12][13] - The company is investing over $100 billion in capital expenses to capitalize on the growing AI market and is developing its own AI technologies [14] - The demand for AWS services is expected to remain strong, as businesses may increase AI investments to mitigate the impact of tariffs [15]