Just in time for a Santa Claus rally and the holiday shopping season, the best mutual funds have placed a massive bet on online retailer and cloud giant Amazon.com. The latest list of new buys by top funds shows these savvy money managers scooped up a whopping $16.2 billion worth of Amazon stock.
Leading institutional investors also loaded up on shares of Oracle, auctioneer RB Global and AI-powered intelligence and operations software firm Palantir.
Including AMZN, ORCL, RBA and PLTR, seven stocks saw inflows of over $600 million to more than $16 billion in the latest report.
Oil and gas equipment provider TechnipFMC, enterprise software powerhouse SAP and drugmaker Eli Lilly also made their way onto this stock screen.
| Company | Symbol | Amt invested (mil) | Comp Rating | EPS Rating | RS Rating |
|---|---|---|---|---|---|
| Amazon.com | 16,189 | 88 | 82 | 94 | |
| Oracle | 3,013 | 90 | 90 | 93 | |
| RB Global | 1,861 | 95 | 97 | 93 | |
| TechnipFMC | 1,399 | 99 | 81 | 97 | |
| SAP | 710 | 95 | 83 | 91 | |
| Eli Lilly | 683 | 92 | 66 | 97 | |
| Palantir Technologies | 652 | 98 | 84 | 99 |
See all stocks on the list of new buys by top funds.
AI Has Amazon Stock Scaling Mount Olympus
Last month's report on new buys by the best mutual funds clearly showed the artificial intelligence boom was far from over. Top-performing money managers continued to pour money into AI names, including Magnificent Seven stocks like Nvidia, Meta Platforms and Alphabet.
This month, Amazon stock stepped into the AI spotlight, as evidenced by the enormous inflow of money shown in the table above. As Barron's reports, Amazon is betting on its own AI model, code-named Olympus.
The Amazon Web Services parent is also expanding the use of generative AI throughout its AWS cloud services business to boost productivity and innovate faster.
Amazon stock rose over 2% Friday in rising but below-average volume.
Palantir Spies AI Boom As A Boost To PLTR Stock
As Santa gets ready to circumnavigate the globe, Palantir continues to power AI-assisted decision-making from war zones to factory floors.
As part of its business, the Denver, Colo.-based company operates Palantir AIP to enable clients to run large language models (LLMs) and other AI technologies safely and securely across their networks.
Palantir's software is deployed across a range of sectors from defense to business intelligence and advanced analytics for government and private organizations. Its Palantir Foundry platform enhances data-driven decision-making and situational intelligence to empower asset and risk management.
Following a sharp rise from its 2020 IPO, PLTR stock entered an extended slump beginning in February 2021. The stock has since come off its lows as it engineers a 20.24 buy point in a second-stage cup pattern. Palantir is also on pace to complete a handle that would offer an earlier entry.
Like Amazon stock, Palantir is showing market leadership with its relative strength line rising. PLTR stock soared Friday, gaining nearly 8%.
Best Mutual Funds Also Bid On These Buy Zones
Beyond PLTR and Amazon stock, large investments by the best mutual funds have boosted SAP and Eli Lilly. Oracle has struggled but has now retaken its 10-week line.
RB Global got slammed Friday on earnings, sending RBA stock crashing below its 50-day line. Down nearly 10% Friday, it did manage to find support above its 200-day line.
Continuing to climb after gapping up in August, LLY stock is now extended as SAP stock rose nearly 2% to close right around another buy point.
FTI stock — highlighted along with Weatherford and Baker Hughes on Nov. 3 — retreated after breaking out at the end of October. But it has found support at its 50-day moving average as it looks to return to the earlier buy point.
Time will tell if the Santa Claus rally will hold into the New Year and beyond for these names, as well as Palantir and Amazon stock.
Follow Matthew Galgani on X (formerly Twitter) at @IBD_MGalgani.
