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Bill Ackman Invests in Amazon
Hedge fund manager Bill Ackman, through his Pershing Square fund, purchased 5.82 million shares of Amazon.com (NASDAQ: AMZN), valued at approximately $1.35 billion. This acquisition took place likely in April during a market sell-off, when Amazon’s shares fell to $161, significantly below current levels around $230. Ackman’s position represents about 9% of his U.S. equity portfolio, making it one of his top four holdings.
Key Financials
Amazon’s Amazon Web Services (AWS) generated $108 billion in revenue for 2024, with an operating profit of $39.8 billion, accounting for over half of the company’s total operating profit of $68.6 billion. Additionally, Amazon’s advertising business experienced a 22% growth in Q2 2025, showing an annualized revenue rate close to $50 billion.
Investment Considerations
Investors should evaluate their own investment philosophies rather than mimic Ackman’s trades. Key factors include Amazon’s competitive moat, the growth potential of AWS and advertising, and the valuation of its stock compared to personal fair value assessments.
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