Warren Buffett adds Amazon as high-growth tech stock to Berkshire Hathaway's elite holdings.

From Nasdaq: 2024-04-07 07:37:00

Investing legend Warren Buffett has shifted his strategy in recent years, adding high-growth tech stocks like Amazon to Berkshire Hathaway’s elite holdings. While Apple remains the largest holding, Amazon represents a promising tech bet for Buffett.

Amazon’s stock saw a significant drop in 2022 due to pandemic-inflated growth slowing down. However, the company has since rebounded, with record-high annual free cash flow and double-digit sales growth. Despite trading at higher multiples, Amazon’s stock continues to show potential for growth.

Amazon’s growth prospects remain strong, fueled by the AI boom, international opportunities, and e-commerce dominance. While not without risks, Amazon’s stock represents a long-term growth opportunity that investors like Warren Buffett wish they had gotten into sooner.

Considerations before investing $1,000 in Amazon include the advice from Motley Fool’s Stock Advisor team, who have identified 10 other stocks with potential for significant returns. While Amazon is not on that list, Stock Advisor provides a blueprint for success with regular updates and new stock picks each month, exceeding S&P 500 returns since 2002.



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