3 Reasons to Buy Amazon Stock Right Now

1 hour ago 1
  • Holiday income were beardown this year, driven by higher e-commerce.

  • AWS income person been accelerating.

  • Amazon banal is priced attractively close now.

  • 10 stocks we similar amended than Amazon ›

Amazon (NASDAQ: AMZN) didn't present for investors past year, trailing the S&P 500's 18% summation with a mediocre 5% rise. But that happens sometimes, and investors should ever support the semipermanent representation successful mind. In fact, since Amazon banal has sagged, it could beryllium a large accidental to bargain shares. Here are 3 reasons to bargain Amazon banal today.

Amazon transportation  idiosyncratic   successful  a van.

Image source: Amazon.

The 4th fourth includes the all-important vacation season, truthful it typically has the highest income measurement of the year. That's wherefore a emblematic income illustration has highs and lows that correlate annually.

AMZN Revenue (Quarterly) Chart

AMZN Revenue (Quarterly) information by YCharts

Results from different sources amusement beardown spending for the 2025 vacation season, particularly for e-commerce. According to preliminary results from Visa, vacation spending accrued 4.2% twelvemonth implicit year, portion e-commerce income accrued 7.8%. Amazon controls astir 40% of U.S. e-commerce, truthful that's a large denotation of what Amazon mightiness archer shareholders adjacent week successful its fourth-quarter report.

According to Visa's update, carnal retail accounted for 73% of full spending. That's besides bully quality for Amazon shareholders, since it implies that Amazon inactive has a immense untapped accidental successful shifting retail income to e-commerce.

The breathtaking portion of Amazon's concern close present is artificial quality (AI). Although Amazon uses AI passim its immense enterprise, the AI concern runs done the Amazon Web Services (AWS) unreality segment. AWS is the largest unreality supplier successful the world, with astir 29% of full marketplace share, and adjacent astatine its size, income accelerated to 20% twelvemonth implicit twelvemonth successful the 2025 3rd quarter.

Management is investing successful AWS' AI development, pouring much wealth than immoderate different of the immense hyperscalers into its platform. It spent astir $125 cardinal successful 2025 and plans to up that successful 2026. As much clients privation to prosecute with AI, they're moving to the cloud, boosting AWS sales.

CEO Andy Jassy thinks that there's going to beryllium a immense displacement implicit the adjacent 10 to 20 years arsenic much clients hop implicit to the unreality and usage the AI tools disposable there, giving the institution a immense maturation runway successful this concern alone.

Amazon performed good past year, but the banal didn't ascent excessively overmuch higher. Investors look to beryllium pessimistic astir its AI concern arsenic compared with the competition.

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