2020-08-04 07:26:59, By Nicolas Chahine, InvestorPlace Contributor, InvestorPlace
Content Categorization
/Business & Industrial
/News/Business News/Financial Markets News
/Finance/Investing/Stocks & Bonds
Word Count:
798
Words/Sentence:
23
Reading Time:
3.99 min
Reading Quality:
Intermediate
Readability:
9th or 10th
I pointed out the experts' mistake in February 2019, when they warned against its commitment to excessive spending.
AMZN stock fell below $1,600 per share on an earnings report, and the right thing to do was to buy that dip.
The bottom line is that Amazon blew away all expectations and had astonishing growth, so it doesn't really matter if the mix shifted a bit.
The company continues to execute flawlessly on plans and deliver growth that rivals the newest startups.
Those who did paid dearly … just ask businesses like Macy's (NYSE:M) and its friends.
AMZN Stock Is Twice as Cheap as Other Mega Caps
Some think that the novel coronavirus crisis gave them an unfair advantage, but the company put itself in the position to take advantage of a bad situation.
Amazon has hardly any of it because its stock price is 5.6 times its full year sales.
For absolute comparisons Facebook (NASDAQ:FB) and MSFT are almost twice as expensive, while Apple (NASDAQ:AAPL) is 40% higher.
On the way down, this zone should be bulletproof regardless of what market conditions are like.
In short, betting against AMZN stock – a proven winner – makes absolutely no sense.
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