#2 - Amazon (NASDAQ:AMZN)
Amazon.com Inc. (NASDAQ: AMZN) is another stock that warrants consideration as a growth stock to own for the next 10 years. In addition to its signature e-commerce business, the comany has Amazon Web Services (AWS) cloud computing business.
For many investors, the overlap of these two business units, especially as it relates to the growth of generative AI, makes Amazon a great “sum of its parts” stock. And the 113% growth in the AMZN stock price over the last five years is compelling. Much of Amazon’s revenue growth has come from its AWS business, from which the company generates strong profit margins.
However, advertising, particularly through its e-commerce platform, is becoming a fast-growing part of the company’s business. And considering that e-commerce transactions account for just 16% of all retail sales, the company’s core business still has a long runway for growth.
Analysts are forecasting 20% EPS growth for Amazon in the next 12 months. They also have a consensus rating of Moderate Buy on AMZN with a $222.67 share price that is 20.6% higher than the share price on October 9, 2024.
About Amazon.com
Amazon.com, Inc engages in the retail sale of consumer products, advertising, and subscriptions service through online and physical stores in North America and internationally. The company operates through three segments: North America, International, and Amazon Web Services (AWS). It also manufactures and sells electronic devices, including Kindle, Fire tablets, Fire TVs, Echo, Ring, Blink, and eero; and develops and produces media content.
Read More - Current Price
- $224.92
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 42 Buy Ratings, 2 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $243.00 (8.0% Upside)
