Is it safe to invest in Amazon? (2024)

Is it safe to invest in Amazon?

Wall Street analysts expect Amazon to reach a new high. Of the 61 Amazon stock analysts following the company, 95% hold a buy rating, according to FactSet. Further, FactSet data shows those analysts have, on average, set a 12-month price target of 208 for Amazon stock, according to FactSet.

Is Amazon a good company to invest in?

Amazon is on a promising growth trajectory that could offer investors significant gains in the coming years. In fact, the recent rally saw the retail giant overtake Alphabet in market cap and become the world's fourth-most valuable company.

Is Amazon good for long term investment?

Shares of the leading online marketplace and cloud services provider haven't made new all-time highs since 2021, but buying the dips in Amazon stock has historically been a wise move for long-term investors. Low commission rates start at $0 for U.S. listed stocks & ETFs*. Margin loan rates from 5.83% to 6.83%.

Will Amazon go back to $1 000 a share?

Future Outlook for Amazon Stock

It took seven and a half years for Amazon to reach $1,000 from $100 and it's very possible that it could hit $10,000 between 2023 and 2025.

Why should a person invest in Amazon?

Amazon's investments in same-day delivery are paying off

Amazon stock returned 675% over the last 10 years, three times the total returns of the S&P 500. The stock's rise was driven by an annualized increase in total revenue of 24% -- enough to nearly double the company's revenue every three years.

Is Amazon a high risk stock?

The Risk Score for Amazon.com Inc. is significantly higher than its peer group's. This means that Amazon.com Inc. is significantly less risky than its peer group.

What are the cons of buying Amazon stock?

But, with such great size, comes a set of unique risks. The biggest risks of investing in Amazon.com, Inc. (NASDAQ: AMZN) stock are increasing competition, profit potential uncertainty, revenue growth uncertainty, speculative valuation and share price volatility.

What if I invested $1,000 in Amazon 10 years ago?

If you had invested in Amazon ten years ago, you're probably feeling pretty good about your investment today. A $1000 investment made in March 2014 would be worth $9,565.47, or an 856.55% gain, as of March 15, 2024, according to our calculations.

What will 1 share of Amazon stock be worth in 10 years?

In 2030, the Amazon stock will reach $ 793.03 if it maintains its current 10-year average growth rate. If this Amazon stock prediction for 2030 materializes, AMZN stock willgrow 349.17% from its current price.

What will Amazon stock be in 5 years?

Amazon stock price stood at $175.39

According to the latest long-term forecast, Amazon price will hit $200 by the middle of 2024 and then $250 by the middle of 2025. Amazon will rise to $300 within the year of 2026, $350 in 2027, $400 in 2028, $450 in 2029, $500 in 2030 and $600 in 2033.

Should I invest in Amazon 2024?

But based on this assumption, Amazon stock trades for about 35 times this 2024 free-cash-flow estimate. It isn't a cheap stock, but if you believe Amazon will continue growing and ratcheting up profit margins for years to come, this remains a top buy-and-hold stock for the long haul.

How can I invest in Amazon and make money?

You can buy Amazon stock through a brokerage account. You'll need to add money to the account and then search for Amazon stock within the brokerage's platform by searching "AMZN." You can also buy Amazon stock through Amazon's direct stock purchase plan. NerdWallet's ratings are determined by our editorial team.

Who is the biggest investor in Amazon?

How much is $10,000 invested in Amazon 10 years ago?

As a result, those who bought $10,000 worth of Amazon's stock in January 2013 would have $78,138.51 today, with an annual rate of return of 22.42%. The growth proves the importance of holding stocks over the long term, as doing so can safeguard your investment against short-term headwinds.

What will $10,000 be worth in 20 years?

The value of $10,000 in 20 years depends on factors like inflation and investment returns. Assuming an average annual inflation rate of 2%, the future value of $10,000 would be approximately $6,730 in today's dollars. However, investing an average annual return of 7% could grow to around $38,697.

What would $1000 invested in Apple in 1997 be worth today?

Its stock price today is $184.4, which is an increase of 134,227% during this period. If you had invested $1,000 in Apple stock on Feb. 4, 1997, today, you would have $1,343,269.

Does Amazon stock have a good future?

Based on analyst ratings, Amazon's 12-month average price target is $208.23. What is AMZN's upside potential, based on the analysts' average price target? Amazon has 19.59% upside potential, based on the analysts' average price target.

What are the best stocks to invest in 2024?

Analysts at Bernstein named Amazon their "Best Idea" for 2024, pointing to fixed-cost leverage and margin strength. TD Cowen analyst John Blackledge chose Amazon as his top large-cap internet pick, singling out the potential for AWS to reaccelerate its revenue growth thanks to AI.

Is it smart to buy stocks right now?

Even with the market at or near its all-time high, it's still smart to be invested in stocks. And there are a lot of great options to get started. Remember, those who have patience, a long-term mindset, and who invest early and often get rewarded.

What will Amazon stock be worth in 5 years?

Is Amazon a good Growth stock?

Stock to Watch: Amazon (AMZN)

AMZN is a #1 (Strong Buy) on the Zacks Rank, with a VGM Score of B. Additionally, the company could be a top pick for growth investors. AMZN has a Growth Style Score of A, forecasting year-over-year earnings growth of 39% for the current fiscal year.

Can you still make money on Amazon stock?

As of late 2023, Amazon shares have delivered more than double the average annual total return of the S&P 500 over the last decade (22.7% versus 10.2%). While past success is no guarantee of future returns, Amazon's growing e-commerce and cloud businesses should increase its revenue and profits.

How much will Amazon be worth in 2025?

If we apply the S&P 500's average price-to-earnings ratio (P/E) of 27 to this $70 billion in earnings, Amazon's stock would have a market cap of $1.89 trillion in 2025. This is slightly higher than the current $1.77 trillion valuation.

What will Amazon stock be worth in a year?

Wall Street analysts expect Amazon to reach a new high. Of the 59 Amazon stock analysts following the company, 97% hold a buy rating, according to FactSet. Further, FactSet data shows those analysts have, on average, set a 12-month price target of 208 for Amazon stock, according to FactSet.

Does AMZN pay dividends?

But one thing you won't get when you invest in Amazon is a stream of dividend payments. While many companies that issue stocks pay dividends on a regular basis (with some even steadily increasing their dividends through the years), Amazon doesn't pay dividends to shareholders.