Bill Ackman aims to replicate Warren Buffett's success with investments in Amazon and Uber.

Billionaire Bill Ackman aims to replicate Warren Buffett’s success by transforming Howard Hughes into a “modern-day Berkshire Hathaway.” Ackman’s hedge fund invested in Amazon and Uber, citing their strong businesses. Berkshire Hathaway, under Buffett, evolved into a trillion-dollar company with a 20% annual stock return since 1965, inspiring Ackman’s strategy.

Ackman’s hedge fund, Pershing Square Capital Management, holds a 46.9% stake in Howard Hughes Holdings, with plans to acquire quality businesses. Ackman ranks among the top 20 hedge fund managers, outperforming the S&P 500 by 28 percentage points in the past five years. He recently purchased shares of Amazon and Uber, which have seen significant gains in 2023.

Bill Ackman’s hedge fund, Pershing Square, acquired a stake in Amazon in the second quarter. The fund’s Chief Investment Officer, Ryan Israel, expressed confidence in Amazon’s ability to navigate challenges and maintain growth. Wall Street projects Amazon’s earnings to grow at 10% annually through 2026, despite the current valuation. Amazon’s leadership in e-commerce, cloud computing, and digital advertising positions it for continued success.

Amazon’s strategic focus on artificial intelligence (AI) includes over 1,000 generative AI applications to optimize operations. The introduction of DeepFleet, a generative AI model for warehouse robots, aims to enhance efficiency and reduce costs. Analysts believe Amazon’s AI initiatives will drive revenue growth, with potential for earnings to increase by 15% annually through 2030.

Bill Ackman’s hedge fund also invested in Uber, recognizing it as a top-tier business with strong management. Uber’s dual offerings of ride-sharing and food delivery through a single app provide a competitive edge. The company’s partnerships in the autonomous vehicle industry position it for growth, with estimates of 26% annual earnings growth in the next few years. Uber remains an attractive investment opportunity.

Read more at Nasdaq: Billionaire Bill Ackman May Be the Next Warren Buffett. He’s Buying 2 Magnificent Stocks Up 160% and 270% Since 2023.