Not too long ago, Amazon was considered a overvalued tech stock. Some may even say it's overvalued right now but I beg to differ.
Ultimately Amazon stock has been in the gutter for the last 2 years or so, while improving every single foundational business segment to better itself.
You're getting a very diversified tech company which plays in multiple fields of industry. They have e-commerce, Data center, warehousing, marketing, media delivery services, and most importantly they're a big play in AI (with the largest investor of anthropic).. not to mention space to get that shine from the MSM pump of SpaceX.
The biggest thing to know is that the stock hasn't moved which led to the PE ratio drop in to approximately 20. I understand that there's some accounting tricks to make it appear this cheap but considering the fact it's a fast growing juggernaut.. it still deserves a premium.
Historically this is traded for a way higher p/e ratio. It's one of the few mag7 stocks that has grounded back to reality.
It may not be the cheapest stock, but it's a major value when you consider all the factors. Another factor is that anthropic is IPOing in the next month. This should allow Amazon to continue it's ascent above 300.
Either way Amazon is a great buy and hold. What are your thoughts?