Amazon.com, Inc. (AMZN)

Now the largest or second-largest holding in his global equity fund. Growing faster and with higher margins than WMT or COST, yet trades at big discount to those two. Believes AI division will grow over 20% over for next 2-3 years. Has power capacity available, while other companies are still searching. Lots of upside optionality on the AWS side for 2026.

Retail business is wildly profitable now in US and Canada, less so internationally. What you're banking on is AWS cloud services and its place in distributing AI through society. Durable growth, very low valuation, profitability improving across divisions. No dividend.

(He chose this instead of MSFT, already a Past Top Pick. With MSFT, demand is there; with AMZN, you're almost certain that demand is there. Likes both, prefers MSFT by a hair.)

Investments in robotics hurt short-term but will benefit their long-term; robotics will replace jobs and save $4 billion (estimated) in coming years. That should help the bottom line.

His top pick for 2026. It had a lousy 2025, a stall. It will catch up in 2026 given AWS, Prime, logistics--many levers to pull. Shares will soon catch up to fundamentals.

The Mag 7 are losing momentum. Growth potential has been great, but is declining now. They face a problem in all the energy needed to power the AI stocks. Amazon has been a laggard among peers. But its retail business generates revenues to offset potential weakness in other business, something that Amazon's peers face.

Would rather own Meta or Nvidia than Amazon, because the former have better multiples and earnings growth (for 2026). It's a wait-and-see, because it's only 11% EPS growth in 2026 and trades at nearly 30x PE vs. Meta at 22x and 21%, for instance.

He bets that in 2026 Amazon will do what Alphabet did this year and Apple since May. Is not talking numbers. No company has as many pistons firing as this: AWS, AI investments, retail business, the logistics business.

Shares are in no-man's land and up less than 4% this year, but it will go higher in the future. It trades at 32x PE, and 29x forward, with 11% EPS growth for 2026, not cheap, but historically cheap. It has always been a high capex company, but not outrageously so. They put in 3-straight higher lows. One day it will break $238. Be ready for it.

Trades at a reasonable 26x PE for 2026. It boasts e-commerce (a huge 41% market share), AWS (#1 in cloud computing) and AI which has huge possibilities. We are not in an internet bubble.

AWS amounts to only 20% of revenues, but 60% of profits. Amazing retail sale. Is a major holding of his. They spend insane amounts on AI, but have to Is up 1.44% this year.

The high end is still spending on luxury goods, while the lower-middle consumer is starting to reduce spending. This name gives her exposure to more defensive consumer staples for her main portfolio positioning.

Not one of his top 3 holdings, but likes it. It's steady, run by a good CEO who's controlled costs and spending. It will do well, all cloud companies will.

One of the underperformers in Mag 7. AWS's growth has reaccelerated though the past quarter. They maintained margins in retail. Their next-gen chips are what to focus on, so they become less reliant on NVDA. They have many levers to pull.