The One Million Dollar Question: Netflix, Inc. (NFLX), Starbucks Corporation (SBUX), Amazon.com, Inc. (AMZN)

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Competition has sky rocketed in the e-world. When it comes to retail, there is none bigger than Amazon.com, Inc. (NASDAQ:AMZN). It’s CEO was recently declared as the best business person in America, and I have compared the company’s success to that of Tim Tebow. Amazon’s CEO, Jeff Bezos, has been selling a long term vision of success, which has led to many unpleasant metrics in the present. One thing nobody can deny is the growth the company is experiencing. Since 2003, the company’s revenues have increased by 1,160%, and its stock has increased an average of 111% annually. The company has a market cap of nearly $121 billion.

Again, let’s say the stock only produces half of its previous ten year average. Amazingly, Amazon.com, Inc. (NASDAQ:AMZN) has risen more steadily than either of the previous two companies over the past decade. With an initial $13,000 investment, the 30 year old couple could pull out their million dollars at age 40. If the couple was a little more patient, they could reach the same bench mark in 15 years with an initial investment of only $1,350.

All of these companies have seen remarkable success in the past decade, and even if their performances are cut in half (or a quarter), they are still very solid investments. The chart below shows their past decade of success.



SBUX data by YCharts

The Foolish Bottom Line…

Please do not think that I have a crystal ball informing me of which companies are million dollar investments – I don’t. All of these scenarios are simple “what if’s,” but these companies seemed positioned to continue their success. In my opinion, I have allowed some pretty serious wiggle room for these companies over the next decade, but the results are still pretty awesome.  People may call me a fool, but at least I asked the million dollar questions.

The article The One Million Dollar Question originally appeared on Fool.com and is written by Tyler Wofford.

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