Business legend Warren Buffet and his Berkshire Hathaway company hold various stocks that the former has confidence in. Buffet made a name for himself because his investment decisions became extremely profitable, and investors often look to his holdings before making any big decisions. One of Berkshire Hathaway’s most promising holdings is Amazon (AMZN), one of the “magnificent-7” stocks on the US market.
Warren Buffet’s Berkshire Hathaway initially invested in Amazon stock back in 2019. At the end of 2024, the company reportedly held around 10 million shares. This quantifies into nearly $2B invested in Amazon at current share prices. Over the last five years alone, Amazon’s (AMZN) stock value has doubled, rising by over 103%.
Amazon From 2025-2030: 100% Potential Again?
Now that we’re in 2025, Amazon is still succeeding as a leader in e-commerce and cloud computing, thanks to AWS. Additionally, with the AI sector blowing up in the last year, Amazon is quickly becoming a leader there, making sound investments that have increased the company’s value. Thus, it is very probable that over the next five years, Amazon stock, and thus Warren Buffet’s AMZN portfolio, can double in value again.
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Moreover, Amazon management continues to focus on reducing fulfillment costs, which helped the company nearly double its net income to $59 billion in 2024. Amazon’s increasing use of robotics to automate tasks in fulfillment centers could drive down costs significantly over the long term and unlock more profits. As for AWS, Amazon’s cloud revenue grew 19% year over year in the fourth quarter and made up half of Amazon’s operating profit. Those numbers are anticipated to go even higher in the next few years, providing even more revenue for the e-commerce giant.
According to analysts at TipRanks, the average price target is $269.85, with a high forecast of $306.00 and a low forecast of $203.00.At press time, Amazon stock is trading at 192.84. While it has had a slow start to 2025 thus far (falling 11%), most investors are still bullish on the potential of AMZN shares. Analysts expect the company’s earnings to grow 20% at minimum on an annualized basis in the coming years. Assuming the stock continues to trade around the same valuation on a price-to-earnings basis, that is enough to double Warren Buffet’s investment, and potentially yours.