Billionaire Investor Bets Big on Amazon Amid FTC Scrutiny

While Amazon faces fresh regulatory challenges from the U.S. Federal Trade Commission, a prominent billionaire investor is making a massive contrarian bet. Bill Ackman’s Pershing Square funds have invested a substantial $1.35 billion into the e-commerce giant’s stock. This significant move raises questions about whether Ackman has identified hidden value or is entering at a potentially risky juncture.

Amazon’s advertising practices have drawn formal scrutiny from the FTC, launching an investigation that could significantly impact the company. Regulators are examining whether the tech giant obscured critical business terms and pricing structures from its advertising clients. A particularly serious allegation suggests Amazon implemented undisclosed minimum pricing requirements without informing advertising customers.

This regulatory uncertainty has weighed on investor sentiment,... Read more...