Amazon.com, Inc. (AMZN)

Market's a bit rich and overbought. Latest run the past 2-3 weeks has been all about the USD weakening. Still a decent runway. King of the cloud market, 70% market share. Large-language model announced. 12-month price target of $165. No dividend.

Compounder. Have to hold your nose to buy at current valuations, but you only have to look 2-3 years down the road to get to a more comfortable valuation. AWS is a driver, and AI will really come to the fore over the next 2 years. Invested heavily in e-commerce, and it's starting to see some profitability, juggernaut of the future.

Gen AI will continue to be a force among the Magnificent 7. Nvidia and Microsoft will remain the leaders, but the two sleepers that can outperform Apple in 2024 are Amazon and Alphabet. Apple is quality growth, which he likes, but in 2024, Apple might take a backseat to the rest of the Mag 7.

Excellent company with strong assets in cloud computing and Amazon Web Services. eCommerce also continuing to preform well. Participated in "Magnificent 7 Rally". Has been earnings estimates the past 3 quarters. Increased demands in A.I. will contribute to demand in web services. Profit margins are exceptional in software. Will continue to hold. Believes growth is sustainable and will continue. 

There is a breakout in this space. Amazon has a good chart and could break thorough highs and consolidate at the $160 level. The downside is a support level at $132. He owns a lot of SHOP.

Lots of opportunity in A.I. area. Recognition in AI tech not as widely recognized by markets. Expecting growth into A.I. presence. Power and scale of company will allow company to compete in tech of A.I. 

Overspent during the pandemic, now pulling back. Jewel is AWS, which subsidizes the retail operations, as those margins are quite low at around 3%. Margins on AWS are 20-25%. Ad business is growing. She plays the cloud offerings with other names such as GOOG or MSFT.

AI could reignite their cloud business by using AI.

It is the biggest player in e-commerce and has a variety of products. Soon it can even sell cars. Also it is growing its cloud business. In addition it has a huge advertising business which is competing with Google and others. It has cut back on costs and is well structured.

Was a lot to dislike--terrible quarter, high expenses and too many workers. But their last quarter showed amazing ad revenues, helped by cutting costs. After Microsoft is next megatech name to go higher.

Heading into shopping season. Prime is a bargain with next-day shipping.

The question was on his preference between the two companies, Alibaba didn't get traction and there has been a disconnect between their numbers and the stock price. He prefers Amazon.

Sitting on a ton of cash. AWS is a standalone business, though growth is slowing a bit and could hit to 3rd place in cloud behind Microsoft and maybe Alphabet. AWs remains a dominant business, while their delivery business is a cash cow. Add to that Prime and streaming businesses. But the valuation is high. The company continues to invest in R&D. On his radar screen, but not at the top.

Leans towards AMZN, based on it having retail but also AWS. AI investments should help both AWS and retail customers. More compound potential because of different business streams.

COST has been well developed, but not sure how much more juice there is.