Ackman Adds 1.84M Shares, Tepper Raises Amazon Stake 98%; Kindle Support Ends
Bill Ackman’s Pershing Square added 1.84 million Amazon shares in Q1, lifting his position by 19%, while David Tepper’s Appaloosa Management boosted its stake 98% to around $900 million as multiple hedge funds overweight the stock. Amazon will end technical support for older Kindle models, prompting widespread jailbreaking among users.
1. Hedge Fund Stake Increases
Pershing Square added 1.84 million Amazon shares in Q1, boosting Bill Ackman’s position by 19%. Appaloosa Management nearly doubled its holding to roughly $900 million, making Amazon its largest equity stake. Other funds led by Daniel Loeb, Seth Klarman and Chase Coleman also list Amazon among top U.S. holdings.
2. Investment Rationale
Hedge funds cite resilient e-commerce cash flow, strong AWS cloud demand driven by AI buildouts, and accelerating digital ad revenue as key catalysts. This shared conviction trade has made Amazon the most repeated overweight name across major 13F filings into Q2.
3. Kindle Support Ends
Amazon announced it will terminate technical updates and support for older Kindle e-readers, prompting many users to jailbreak their devices to retain functionality. The move highlights challenges in device lifecycle management and customer satisfaction for legacy hardware.
4. Outlook and Risks
Continued fund positioning depends on AWS capex guidance and digital ad trends in upcoming quarters. Product support changes could impact user loyalty and shipped-device profitability, adding a consumer hardware risk to Amazon’s diversified business model.