Not advice or maybe even true but bear in mind we just had over a year lock down of shops so everyone bought on Amazon. This must have been anticipated to bring a dip at some point as people go out in the real world again. It is also summer so people like being out but I see it going back up especially in colder months when people don’t want to go to the shops.
Forgive me if this is a bit 101: but it applies generally rather than to just Amazon, so a few things to think about, in no particular order:
What’s your investment horizon: Amazon stock has risen 300%+ in the last 5 years and ~30% over the last year, while in the last month, we’re looking at a fall of almost 4%. Time in the market, rather than timing the market is what matters, and for retail investors is what provides a return in a broadly sensible risk managed way.
Business fundamentals: is it in a growth sector? What does revenue and profitability look like? Is it positioned to face down emerging threats and is it agile enough to seize opportunities in a rapidly changing world? Do you believe in the management?
Extraneous factors: are there trends that support or undermine your belief that the business will prosper and provide a worthwhile return on capital?
Good place to hunt this information down are company reports and accounts, Google finance and decent business rags like the FT and Bloomberg, but remember, people like to talk their book up, so look for opinions that challenge your own. I’m a big fan of the FT’s Alphaville blog, unfort. it’s paywalled now but you can join their Clubhouse and follow their Twitter for links to free content. Defo worth the effort, for the chuckles alone!
Well put Amazon has many growth opportunities that could be vast but the only ? is if “break ups” of big tech companies ever happens. Not sure that would mean lost money though as probably split shares etc but that is the only issue I see with Amazon as they do a fantastic service that is loved.
I heard they want I think MGM as well which could be a great move. Not for £ but as an incentive to join the Amazon prime world and get hooked like Apple.
And a corp breakup might create additional shareholder value, eg if AWS were spun out.
All good points thanks. I guess I just bought at the wrong time (end apr) and it steadily declined continuously in that time. Take the point I need to think longer term!!
Amazon retail isn’t even the most profitable bit. AWS is killing it with every Q & their ad business is growing faster than FB & Google.
I’m here for the roll out of their medical insurance and prescription delivery service (pill pack) The US health care is so messed up it only takes a half competent company to roll in and they’ll clean up.
“Alexa order my prescription for pile cream” - no need to see anyone
“Alexa can you book an appointment for me to speak to a dermatologist for next Wednesday afternoon”
no waiting around in a waiting room across town, they’ll just pop up on your echo show.
Shareholder will all be holding their breathe …
I am a big fan of amazon as a shopping experience even though I know the issues at hand are a problem ethically. Problem is the service is just too good compared to others but the Prime TV is only ever worth a month a year subscription Usually Xmas to get free delivery for the presents.
who thinks we are going to get baited again history shows sell off always happen when stock is around the range of 3500s-3600
Approaching a 5% gain on the first day without Jeff Bezos at the helm. Strong move, very positive. Now where’s that stock split!
Also likely to be affected by the news that the JEDI contract is back up for bidding after having been awarded to Microsoft initially…
That certainly helps
Amazon’s net sales rose to $113.08 billion in the second quarter ended June 30 from $88.91 billion, a year earlier. Analysts on average had expected $115.20 billion
Down 5% in after market which seems dramatic.
What do you think of Amazon’s latest investment?
The Post Offices exclusivity deal with Royal Mail should have ended as soon as the Conservatives sold off more of the family silver Royal Mail was privatised.
The sooner that Post Offices can sell postage options from all couriers the better and the more chance it will have of surviving. As much as I dislike Amazon and its practices, this is great news for the PO.
Not such good news for those with Royal Mail shares.