A short analysis review of Amazon
What is Amazon?
The $AMZN (Amazon) Amazon company is the world´s largest e-commerce platform. The company was founded back in 1994 by Jeff Bezos in a small garage. Jeff Bezos is today one of the richest men in the world and Amazon has had a completely incredible growth journey since its infancy.
Should I invest in Amazon?
You need to invest in Amazon if you believe that they will still continue to be the world leader in the e-commerce industry. There is a reason why there is a lot of debate that small businesses fear Amazon as they occupy a larger and larger market share as days go by. However, there are companies that work in the same field such as $MELI (MercadoLibre) Mercadolibre and $BABA (Alibaba) Alibaba. Will they be able to gain market share in the future?
You should not forget that there is some criticism of the way their founder and previously CEO Jeff Bezos treats his employee. The conditions have been below the allowable level.
Everyone can agree that Amazon is in control of increasing their growth. For the fourth quarter, Amazon reported earnings of $ 7.2 billion, or $ 14.09 a share. Amazon’s revenue total increased 44% from the previous holiday period´s total of $ 87.44 billion. Amazon’s 2020 ends with first $ 100-billion quarter! The stock has gained 69% in the past 12 months, as the S&P 500 has gained 18%.
It was announced that CEO Andy Jassy will replace Jeff Bezos as CEO during the third quarter of this year. Bezos stays with Amazon as chairman of the board. It will be exciting to see if this will have an impact on the future.
Is there a future for Amazon after Covid-19?
Research form Mckinsey shows that 70% of consumers plan to continue, and even increase, e-commerce shopping even after social distancing is long gone. And not to forget their cloud computing growth. The company continues to benefit from cloud computing as well. They hold 33% of the public cloud computing market, and $MSFT (Microsoft) Microsoft holds 18%. Public cloud market will grow to an estimated $ 362 billion in 2022, up from $ 258 billion in 2020. It’s likely that Amazon will continue to have significant growth when cloud spending expands.
What do you think is going to happen in the future ?... Show More
Great post! Amazon will still be a beast for years to come. Love the business in the long run. But I feel like e-commerce in amazon style is very difficult for new sellers to compete with, considering Amazon product, Big name, etc.
To me I love the story and engagement between customers and sellers.... Show More