NASDAQ:AMZN

Amazon.com, Inc. (AMZN)

250.38
-11.99 (4.57%)
as of Oct 22, 2026, 8:00:00 pm Market Closed.
1605 watching
0
BUY
Does not own shares in the company. Current price level of stock presenting good buying opportunity, Dominant player in web services & cloud computing. Amazon Prime also very strong component. Sum of parts equates to bargain share price.
PAST TOP PICK
(A Top Pick Jul 12/21, Down 34%) Their problems are short term and he's holding on. AWS continues to deliver high margins and revenues growth. A slowdown in cloud spending is possible, but he expects robust demand. A concern is their retail side, probably hitting the worst last quarter due to a physical goods overhang after two years of being understaffed (so are now letting go staff as Covid ends). They should return to positive EBIT in the next two years.
BUY
Likes the prospects of company going forward. Concerns of over investment in infrastructure not too much of a concern. Current trading multiples suggesting a good time to buy. Concerns of inflation and supply chain problems not too much of a worry.
BUY
King of e-commerce and retail. Hints of consumer slowdown get reflected in the stock. But 70% of revenues and profits actually come from AWS, part of a secular trend to server cost-cutting and efficiency. 12-month price target of $3800. A great bargain.
SELL
Company seeing diminished growth in business units (retail, AWS etc.) Law of diminishing returns is catching up with company (can't grow forever). 63x P/E ratio doesn't provide much room for healthy growth. Would sell shares and wait to buy when market reaches bottom.
BUY
The retail segment will continue to grow. Costs in the next couple of quarters will come down substantially. Growing quickly and will become highly profitable with great prospects for earnings. It is very cheap so buy now for the long term. Many techs are mulling cutting costs. They all went up together, came down together and will go back up together.
COMMENT
Low profit margins, but high PE of 60x It's been growing into its earnings at the PE keeps declining. E-commerce is a low-margin business and recent results were disappointing. They invested a lot in building fulfillment centres during Covid, including hiring a lot of workers. However, the cloud business makes up almost all their profits, though revenues are smaller than e-commerce. Cloud has tremendous growth and potential. Basically, cloud is so strong that you're getting e-commerce for free.
PAST TOP PICK
(A Top Pick May 20/21, Down 26%) A symbol of today's stock market. They overexpanded their distribution network; revenue has and will slow down. AWS enjoys 70% margins. Advertising is growing and Amazon can raise their fees. They're growing more distribution, but internet retail is slowing them down. But after a few quarters of sluggishness, this should return to growth. Still likes it and he would average down. Newbies can enter partially now.
BUY ON WEAKNESS
Believes is a good long term hold. Recent earnings report not that bad. Overspending on infrastructure presenting long term opportunity for investors. 35x trading multiple is hard to justify, but is a long term investment. Excellent management team.
BUY ON WEAKNESS
Has owned this forever, though took profits earlier this year, because Amazon is still signing up millions of users to Prime. He'll re-buy his shares further down. Amazon is a bellweather--they staffed up for Omicron to maintain deliveries, but now that Covid is less of a threat, they will staff down, like truck drivers and warehouse workers. Maybe wages for these workers will decline too. Since Amazon is such a massive employer, if they layoff staff, they can alleviate some of the nation's employment shortage--and end the peak in wage inflation and in turn ease inflation and in turn the Fed doesn't need to raise interest rates so far so fast. Covid was a job suck and that job suck is ending. We could much closer to ending inflation than we think with fewer people spending.
BUY
Wait to add until after earnings? AWS continues to grow. E-commerce growth will continue to be impressive. Will continue to do well over the next several years. Hard for him to tell what impact an earnings miss might have, that's too granular for him. He'd buy here, and if it fell, he'd buy more.
BUY
In an environment where you're seeing an interest rate policy change globally, you're going to see a lot of volatility. We just have to get used to it, and as investors do, the volatility will come down. If your timeframe is 3-5 years, AMZN will be OK. When a stock split is a positive, you'll see the stock trade up. The split gives more shareholders the opportunity to buy. Do you like the longer term businesses that AMZN is in? He does. The only issue is that it's an expensive business. The valuation is very expensive, and he doesn't own it for that reason.
COMMENT
How do you calculate your model prices? It's very complicated. He doesn't have a model price on AMZN, because the share price is so high now. It's trading right at the middle of its zone. If you see a recession coming, sell this, but not if you are bullish. Just a little piece of good news, like peace in Ukraine, the market will rally hard. Hold if you own it, but don't enter it now.
PAST TOP PICK
(A Top Pick Jun 10/21, Down 8.66%) It continues to do everything right and has raised wages aggressively. Is one of the most reliable suppliers. It has outstanding value and is still a good long term investment. The two dollar price increase for Prime should help the stock.
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