We recently published 10 Stock News You Should Pay Attention To. Amazon.com, Inc. (NASDAQ:AMZN) is one of the stocks to watch in September.
Carter Worth from Worth Charting said in a recent program on CNBC that Amazon is poised to see a rally. The analyst gave the example of Alphabet, which recently broke out after seeing declines, especially during the tariff-related selloff.
“And of course Google just now breaking out but something like Amazon has not,” Worth said. “So here for instance is a chart of what Google did. We know it drops about 30% during the tariff swoon, recovers to that level and then bang, right, a news related breakout, the gap up. Now take a look by contraction at Amazon. Amazon really is a laggard and that is either a problem or an opportunity. I think it’s the latter. It’s an opportunity. So a final chart of this particular effort—those arrows are a judgment, right? Someone else could say no, it’s poor relative strength, it’s not going to make the new high, but I think that it does, and so this would be just another one to join the general move above the pre-tariff sell-off. Highly, of course, Apple is not anywhere close, but every day another one seems to come to life, and I think Amazon is one that’s poised to do just that.”
Photo by Austin Distel on Unsplash
Pershing Square Holdings stated the following regarding Amazon.com, Inc. (NASDAQ:AMZN) in its second quarter 2025 investor letter:
“Earlier this year, we initiated a position in Amazon.com, Inc. (NASDAQ:AMZN), a company we have long studied and admired. Amazon operates two of the world’s great, category-defining franchises: its Amazon Web Services (AWS) cloud business and its e-commerce retail operations. Both AWS and the company’s retail operations are supported by decades-long secular growth trends, occupy dominant positions in their respective markets, and have significant long-term opportunities for margin expansion. Moreover, despite operating in different industries, both businesses share the core tenets of Amazon’s ethos: a relentless focus on the customer, leveraging scale to be the lowest-cost provider, and continually reinvesting to improve their value proposition.
AWS, which accounts for approximately 60% of Amazon’s total profits, is the leader in the highly concentrated cloud hyperscaler market with over 40% market share. As the first mover in the space, AWS is exceptionally well-positioned to capitalize on the multi-decade shift of IT workloads from on-premise to cloud solutions. Currently, only about 20% of IT workloads are estimated to be hosted in the cloud, a percentage that is expected to steadily increase and eventually invert over time. Similarly, Amazon’s retail business is powered by strong secular growth in e-commerce adoption. In the U.S., for example, e-commerce sales penetration has doubled in the past decade yet still accounts for less than 20% of total retail sales. Within this rapidly expanding market, Amazon holds a leadership position by offering consumers the widest selection, the lowest prices, and the fastest delivery, all enabled by a one-of-a-kind logistics network that fulfills over $700 billion in gross merchandise value annually…” (Click here to read the full text)
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Disclosure: None. This article is originally published at Insider Monkey.
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