Amazon.com’s (AMZN) Secular Tailwinds Reinforces Its Competitive Moat

4 weeks ago 5

Soumya Eswaran

Fri, July 31, 2026 astatine 8:37 AM CDT 3 min read

Investment absorption company Vulcan Value Partners recently released its second-quarter 2026 capitalist letter. A transcript of the missive tin beryllium downloaded here. Vulcan Value Partners prioritizes semipermanent returns and little hazard implicit short-term performance. In the quarter, the Large Cap Composite (Net) returned 9.5%, the Small Cap Composite (Net) returned 13.3%, the Focus Composite (Net) returned 10.4%, the Focus Plus Composite (Net) returned 10.5%, and the All-Cap Composite (Net) returned 9.0%. The steadfast reported beardown compounding crossed its strategies successful Q2 2026. Management highlighted that their exceptional holdings stay profoundly undervalued comparative to "what is working" successful the market, viewing this arsenic an fantabulous accidental for diligent investors. In addition, delight cheque the Firm's apical 5 holdings to cognize its champion picks successful 2026.

In its Q2 2026 capitalist letter, Vulcan Value Partners highlighted Amazon.com, Inc. (NASDAQ:AMZN) arsenic a notable contributor. Amazon.com, Inc. (NASDAQ:AMZN) is simply a multinational exertion and retail institution known for its starring online marketplace and unreality platform. On July 30, 2026, Amazon.com, Inc. (NASDAQ:AMZN) closed astatine $235.50 per share. The one-month instrumentality of Amazon.com, Inc. (NASDAQ:AMZN) was 10.52%, and its shares gained 32.50% implicit the past 52 weeks. Amazon.com, Inc. (NASDAQ:AMZN) has a marketplace capitalization of $2.53 trillion.

Vulcan Value Partners stated the pursuing regarding Amazon.com, Inc. (NASDAQ:AMZN) successful its Q2 2026 capitalist update:

"Amazon.com, Inc. (NASDAQ:AMZN) reported beardown results during the archetypal quarter. AWS gross maturation accelerated to 28%, its fastest maturation complaint successful 15 quarters. Amazon Bedrock, a afloat managed work providing unafraid entree to starring ample connection models, grew 170% quarter-over-quarter. 125,000 customers are utilizing Amazon Bedrock including 80% of the Fortune 100. Most of Amazon Bedrock's inference request is powered by Amazon's interior Trainium chips. Amazon's chips business, which consists of Trainium and Graviton, is present implicit a $20BN run-rate concern increasing triple-digits twelvemonth over-year. Amazon's utilization of its ain proprietary chips helps mean capex walk comparative to competitors. Advertising gross maturation remains successful the debased 20%. The halfway retail concern (retail excluding advertising) continues to amusement improving profitability contempt rising motorboat costs for Amazon's outer service. Paid portion maturation successful the halfway retail concern was 15% successful the quarter, the fastest portion maturation successful 19 quarters. Amazon remains a ascendant world-class institution with almighty secular tailwinds successful spot including its e-commerce penetration, integer advertizing growth, and the modulation to the cloud."

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