Palantir Billionaire Peter Thiel Buys an AI Stock Up 560% in 10 Years (Hint: Not Nvidia)

Billionaire Peter Thiel, co-founder of Palantir Technologies , runs the investment company Thiel Macro. The company sold its entire portfolio in Q3 2025 and did not buy stocks again until Q2 2026, when it added eight new positions. The largest was Amazon (NASDAQ: AMZN), an artificial intelligence stock up 560% in the past decade.

Interestingly, Thiel does not own a position in Nvidia . In fact, Amazon is the only technology company in his portfolio. The other seven stocks come from the energy sector, likely because he believes the massive power requirements of AI data centers will become a bottleneck.

Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Regardless, investors should take a closer look at Amazon. Here are the important details.

Amazon is using AI to unlock new revenue streams and improve efficiency

The investment thesis for Amazon is simple. The company enjoys a strong competitive presence in retail e-commerce, digital advertising, and cloud computing, three markets where annual sales growth is projected to be 12% to 16% through the end of the decade. Think of that range as a baseline forecast for Amazon's earnings growth during the same period.

However, Amazon's earnings could grow more quickly as investments in artificial intelligence unlock new revenue streams and improve productivity. Within retail, Amazon is the largest operator of industrial mobile robots, and the company is leaning on AI to make its fleet faster and more efficient. For instance, workers can engage the latest Proteus robots in natural language.

"We see a long runway for further efficiency improvements in fulfillment and shipping costs, in particular with robotics," writes Morgan Stanley analyst Brian Nowak. He thinks fulfillment and shipping costs consume 36% of retail revenue, so margins could improve substantially if Amazon successfully automates a good chunk of that work.

Elsewhere, Amazon Web Services (AWS), as the leading provider of cloud infrastructure and platform services, is well-positioned to capitalize on AI demand simply because it has a large customer base. Those customers may find it easier to adopt AI tools within AWS, where their data already resides, rather than migrate to a new cloud platform.

However, Amazon's cloud computing revenue could grow faster than the industry average as it monetizes proprietary AI agents and Trainium chips, custom silicon built specifically for training and inference workloads. Morgan Stanley estimates AWS could generate $1 trillion in revenue in 2035, implying 21% annual growth over the next nine-plus years.