This Ridiculously Cheap Warren Buffett Stock Could Make You Richer

Understand this faster with AI
By Adria Cimino – Mar 25, 2026 at 6:30PM ESTKey PointsThis company is involved in the high-growth field of AI.It also has two solid businesses that have delivered growth over time.Warren Buffett led Berkshire Hathaway to market-beating gains over a period of 60 years, so it's natural that the rest of us investors look to his selection of stocks for inspiration. Buffett, who retired from the chief executive officer role at the end of 2025, is known for choosing value stocks, or those that trade for less than what they're truly worth, and holding on for the long term. Now, one of Berkshire Hathaway's holdings -- a tech and consumer goods giant -- is looking particularly cheap. And if you pick it up and hold on for the long term, it could make you richer. Image source: The Motley Fool. An e-commerce and cloud giant The stock I'm talking about is Amazon (AMZN +2.02%), an e-commerce leader and the world's biggest cloud services provider. Buffett, back in 2017, expressed regret for not getting in on the stock early, and one of his managers then made the move and picked up shares in 2019. Amazon has built an e-commerce empire, operating worldwide, and its offering of groceries and essentials ensures that even during tough economic times, customers will keep flocking to the platform. This is reinforced by Amazon's emphasis on low prices and the company's Prime subscription service. In recent years, Amazon has revamped its cost structure to maximize profitability -- for instance, it's moved inventory in the U.S. closer to the customer with the development of regional fulfillment centers. This and other moves should favor growth over time. ExpandNASDAQ: AMZNAmazonToday's Change(2.02%) $4.19Current Price$211.43Key Data PointsMarket Cap$2.2TDay's Range$209.90 - $213.0452wk Range$161.38 - $258.60Volume1.8MAvg Vol49MGross Margin50.29% Monetizing new capacity Meanwhile, Amazon Web Services (AWS), the cloud unit, has become an AI giant, offering customers a wide range of AI capabilities, from chips to the fully managed Amazon Bedrock service. This has helped AWS reach an annual revenue run rate of $142 billion in the latest reporting period. Importantly, non-AI cloud services are also growing rapidly, so AWS doesn't depend uniquely on AI for momentum. In the recent earnings report, the company said that demand is so high that it immediately generates revenue when it launches new capacity. Now, let's consider Amazon's valuation. The stock today trades at 27x forward earnings estimates, down from more than 40x just a little over a year ago. This looks particularly interesting given Amazon's long history of earnings growth, the leadership of its two main businesses, and AI prospects ahead. The AI market is forecast to reach into the trillions of dollars by the end of the decade, and Amazon, as a cloud leader, may be on track to benefit. I wouldn't call Amazon a value stock just yet, but it looks ridiculously cheap at today's levels -- and over time, this Warren Buffett stock could make you richer.Read NextMar 25, 2026 •By Dave KovaleskiMy Top 2 Megacap Stocks to Buy After Walmart's Latest PullbackMar 25, 2026 •By Adam LevyBillionaire Bill Ackman Sold a Long-Time Holding to Make Room for These 2 New Artificial Intelligence (AI) StocksMar 25, 2026 •By Brett SchaferAmazon Stock: Time to Bail or Time to Buy?Mar 25, 2026 •By Sean Williams55% of Billionaire Bill Ackman's Portfolio Is Invested in 4 Preeminent AI StocksMar 24, 2026 •By Brett SchaferIs Amazon Actually a Once-in-a-Decade Bargain Stock Right Now?Mar 24, 2026 •By Anthony Di Pizio20.4% of Berkshire Hathaway's $306 Billion Portfolio Is Invested in 3 Artificial Intelligence (AI) StocksAbout the AuthorAdria Cimino is a contributing Motley Fool stock market analyst covering healthcare, technology, and consumer goods sectors. Prior to The Motley Fool, Adria covered the European stock market and U.S. stocks pre-market trading for Bloomberg News, Bloomberg TV, and Bloomberg Radio for more than a decade. Earlier in her career, she wrote about biotech, medtech, and technology companies in Boston for Mass High Tech, an American City Business Journals publication. She holds a bachelor’s degree in mass communications from the University of South Florida.TMFAdriaCiminoX@adria_in_parisStocks MentionedAmazonNASDAQ: AMZN$211.43(+2.02%)+$4.19Berkshire HathawayNYSE: BRKA$714,976.80(-0.46%)-$3,273.20Berkshire HathawayNYSE: BRKB$476.19(-0.66%)-$3.14*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.
Source Information
Discussion
0 professional contributions
Sign in to join this professional discussion.
Be the first to add a constructive contribution.
