Stan Druckenmiller Shifts from Nvidia to Amazon and MercadoLibre

Billionaire investor Stan Druckenmiller has sold his Nvidia shares, now focusing on Amazon and MercadoLibre. This strategic move highlights his confidence in the growth potential of these e-commerce giants amid a booming AI landscape.

Date: 21-03-2025

AI Rating: 7

Investor Moves: Billionaire Stan Druckenmiller has completely liquidated his position in Nvidia, shifting his focus to Amazon and MercadoLibre. This could impact stock prices significantly as it reflects changing market sentiments and investment strategies.

Amazon's Performance: In the fourth quarter of 2024, Amazon's revenue from its AWS segment surged by 19% year-over-year to $28.8 billion, reflecting strong demand driven by AI advancements. Moreover, Amazon's operating margin stands at an impressive 37%, indicating solid profitability within this division. Additionally, the company’s consolidated operating margin reached a record high of 11%, suggesting expanding profit margins moving forward. The stock is currently trading at a P/E ratio of 35, its lowest in five years, providing a potentially attractive entry point for investors.

MercadoLibre's Growth: MercadoLibre has a significant presence in Latin America, with Druckenmiller holding 2.45% of his portfolio in this stock. The company's commerce division posted an astonishing 44% growth in Q4 2024. Overall, its revenue has increased by over 3,430% over the last decade, showcasing extraordinary growth potential. Additionally, MercadoLibre’s fintech division, driven by the MercadoPago app, witnessed a revenue growth of 29% year-over-year, highlighting its expanding market share in a region with substantial underbanked populations.

These insights suggest that both Amazon and MercadoLibre are poised for continued growth, making them attractive investments following Druckenmiller's strategic shift.

Stocks: NVDA AMZN MELI