With Amazon stock predicted to rise by 120 %, now is the time to invest!
- Investing as little as $250 in a reputable company like Amazon can give you returns for years and be life-changing for you and your family! But how? Medium to long investments can change your life when you purchase and hold shares in a leading, profitable business. It is true that not all stocks do well, but when investors do win, the winning is usually big. Amazon is an innovative company that is willing and able to interrupt various industries, from video streaming to e-commerce down to domain hosting. And the company is known for its excellent performance.
- With the rapid growth of e-retail and the ever-growing online commerce industry, Amazon stock has risen so quickly over the last few years that the firm is now valued at over $1 trillion. If you had made a $250 investment in Amazon in 2015, you would have earned more than $3000 today
- Still not convinced? Below are five reasons why investing $250 in Amazon today can help you build another stream of income.
Invest In Amazon Today
1. Great Leadership
- Just like several other well-doing companies in Silicon Valley, Amazon is run by the billionaire founder himself, Jeff Bezos. However, the company is worth more than all these big names around, making Bezos the richest of all the tech industry giants.
- Amazon’s founder, Jeff Bezos, is very obsessed with excellent customer service, and that is now an integral part of the company’s ethos. It is also worthy to mention that he is not only a savvy businessman but also a ruthless administrator. That aside, Bezos is Amazon’s biggest single shareholder, which makes sure his interests are in line with other shareholders’. Investing in a start-up where the CEO and founder is also investing is a wise decision for future financial gains.
- Surely, Bezos did not become the wealthiest person in the world by luck or accident. He is currently the world’s best single investor, meaning he is always ready for future opportunities and challenges.
2. Amazon Continues to Interrupt Multiple Industries
- One more reason you should invest in Amazon stock is the company’s determination, dedication, and capability to disrupt a wide range of industries. Investors often make the best returns with companies that are willing to face and overcome the challenges of our ever-changing global economy.
- Amazon.com began as a disruptor, chasing physical booksellers out of business thanks to its convenience, scale, and low running costs. The company quickly evolved from being an online bookseller to becoming the world’s biggest seller of electronics, toys, clothes, toys, and every other product you can think of. Additionally, following the recent growth of online streaming companies, Amazon also ventured into the field by offering not just its own streaming platform but also its own entertainment content.
- Amazon now has its branded credit card, is working on its delivery service, and planning to venture into retail banking.
3. Amazon Still Boasts a Huge Addressable Market
- Amazon has the largest total addressable (TAM) among all other leading internet tech brands. The company’s e-commerce platform is estimated to have a whopping $20 trillion TAM with just 10 percent market penetration. The most profitable segment of the company (Amazon Cloud Services) has an extra $ 1 trillion TAM and also has a market penetration of 10 %.
- Considering Bezos’ business intellect, Amazon’s current valuation, and the amount of capital the company has available to explore new fields, a $250 investment in Amazon is arguably the simplest and most promising investment decision a person can make today.
4. Amazon Is Outsmarting Its Competition
- With more than 100 million subscribers on the Amazon Prime program, over 50 percent of American shoppers now begin their product search on Amazon. At present, the company has about 40 percent of all U.S. e-commerce market share, and that share is rising little by little. As Amazon continues to improve its convenience, pricing, and assortment, it is clearly becoming harder and harder for its rivals to keep up.
5. Amazon Is Generating Steady Revenue Growth
- Although Amazon may not be producing over 40 % profits it once was, it is still impressive that just two of the company’s 66 quarters have generated less than 20 percent revenue growth. Amazon’s profitability has not been consistent, owing to its massive growth investment. However, the company has averaged 21.5 percent revenue growth in the last four quarters.
Amazon Stock Price Is About To Go Up?
- According to online forecasting service Longforecast.com, Amazon stock will increase in the long term, with shares predicted to be sold at $3721 by Nov 2021. Wallet Investor, another popular forecasting service, has also forecast that Amazon stock will trade at $5102 by Nov. 2024. This implies that any investment made today would see a return at about 119.37 percent in just 5 years!
- Government Capital, a leading public finance company, provides the most promising outlook of all, expecting the price of Amazon stock to rise to $10,720 by the middle of November 2024.
Final Word
- So, is it advisable to purchase Amazon stock before this year runs out? Well, like other types of investment, success is not guaranteed. However, as per Amazon’s stock trend analysis and predictions, there is a very high chance that the brand could significantly increase your portfolio in the next couple of years.