Amazon, Undervalued, Overvalued, or just right?
I'll be discussing the importance of Amazon and how it is one of the many market cap giants in the finance industry.
To begin, I want to start by stating the fact that Amazon is a trillion dollar company with a market cap of 1.93 trillion as of June 6th, 2024. This ranks in the top 10 of companies world wide. Currently, Amazon is sitting at around $180 a share after the stock split which effectively breaks up the stock into multiple shares instead of having it at $3,600, one share is just split into twenty shares of $180. Now the purpose of this article is to state the importance of Amazon’s value in the stock market. As of right now Amazon is severely undervalued. I would go as far to say that it is the most undervalued stock in the entire market at the moment. Now that goes without saying that it is a 1.93 trillion market cap stock so it obviously has value, but as of my analysis of the stock it should be closer to an Nvidia type company that has a market cap of around 3 trillion. Now would be a perfect time to accumulate shares of Amazon as we are setup for a large bull in the coming year. A closing line value I could see Amazon realistically getting too would be $240-$275. Unrealistically closing around $300-$350. This much is true though, at the current risk-ratio portion, Amazon is a no brainer in the investment field at the moment. It will outperform many stocks in the upcoming year having just signed a huge NBA deal to stream multiple games and they are expanding on several forefronts. Overall, Amazon is extremely undervalued and this is a no brainer buy. Currently, I have been accumulating on dips in price since the price was at $85 back in the last few years after the 2021 pump in price. I will be following along with this post in the future. Good luck traders! - Turner Plugge
