Amazon (NASDAQ: AMZN ) is a powerful conglomerate which, in my opinion, is one of the strongest businesses currently in operation. Their retail business and AWS unit generate massive cash flows which in turn enable Amazon to both innovate withinBuffett-style rational value picks | Top 95th percentile of financial bloggers according to TipRanks.Six years of long-horizon investment portfolio management and consulting. I do not provide or publish investment advice on Seeking Alpha. My articles are opinion piec ...

Amazon (AMZN -1.65%) surprised investors last week with its underwhelming first-quarter guidance. The stock fell, but it's already on the rebound as smart investors see beyond somewhat disappointing quarterly guidance. After all, there was a lot to love about the quarter, and even more to love about how Amazon is leveraging its dominant position in cloud computing to boost its artificial intelligence (AI) business.Between all the talk about AI and guidance, there was an important milestone Amazon reached th ...

I'm an individual investor heavily influenced by Warren Buffett and Charlie Munger. Munger's 1994 USC Business School Speech is something I think about a lot: ### Over the long term, it's hard for a stock to earn a much better return than the business which underlies it earns. If the business earns 6% on capital over 40 years and you hold it for that 40 years, you're not going to make much different than a 6% return—even if you originally buy it at a huge discount. Conversely, if a business earns 18% on cap ...

In 2023, Bank of America analyst Michael Hartnett coined the term "Magnificent Seven" to describe a group of powerhouse tech stocks, inspired by the classic 1960s Western film. These companies, among the market's most valuable, are leading the way in artificial intelligence (AI), cloud computing, online gaming, and advanced hardware and software.Over the past five years, the Magnificent Seven have delivered mind-boggling returns, but 2025 has been more challenging. So far, only Meta Platforms has significan ...

John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions rem ...

Amazon (AMZN -1.65%) just reported a blowout quarter, but its stock fell after the results came out. Although the quarter itself was spectacular, management's guidance was underwhelming; the lower end of its revenue guidance would be Amazon's lowest quarterly year-over-year growth ever.That's one pessimistic take on the report, and one that seems to be shared across the market. Amazon stock is down 3% since the report came out.Are investors taking this a little too far? I would note that while it would be t ...

Core Insights - Warren Buffett has acknowledged mistakes in his investment decisions, particularly in the tech sector, despite his long-standing success in stock-picking [1][2] Group 1: Amazon - Buffett underestimated Amazon's potential for growth, admitting he was "too dumb" to recognize its future opportunities [3] - Amazon's valuation may have become too high for Buffett by the time its potential was evident, with the company posting its first profit of $5 million in late 2001 after going public in 1997 [4] - Currently, Amazon trades at around 41 times its trailing earnings, which is considered a more attractive valuation compared to its historical averages, indicating potential for investors who see value in tech [5] Group 2: Alphabet - Buffett recognized the opportunity with Alphabet (formerly Google) but was concerned about its competitive advantage and the possibility of being overtaken by other companies [6] - Current concerns for Alphabet include competition from AI technologies like ChatGPT and regulatory challenges following a ruling on its monopoly status in search [7] - Alphabet is trading at a reasonable 23 times trailing earnings, presenting a potential buying opportunity for long-term investors willing to accept associated risks [8] Group 3: International Business Machines (IBM) - Buffett initially invested in IBM, believing in the strong demand for its IT services, but later regretted this decision as the company struggled to grow and adapt to new technologies [9][10] - IBM's revenue growth has been stagnant, with only a 1% increase projected for 2024, and it is trading at over 23 times its future profits, which appears steep given its lack of growth [12] - This situation serves as a reminder of the volatility in the tech sector and the importance of ongoing evaluation of individual stocks [11]

An industrywide price war may be in the works.Anyone keeping a close eye on Amazon (AMZN -1.65%) these days certainly already knows the company's fourth-quarter cloud computing revenue fell just short of analyst estimates, marking the second consecutive quarterly miss for its cloud arm. That disappointment paired with lackluster guidance for the quarter now underway sent shares tumbling on Friday last week, just two days after they reached a record high. Investors seem afraid that the e-commerce giant's clo ...

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in AMZN over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. This te ...

Last week, we received fourth quarter results from technology and retail giant Amazon (NASDAQ: AMZN ) (TSX: AMZN:CA ). The stock has done quite well over the past year, up nearly 35%, as revenues and earnings, for the most part, have come in nicelyI am a market enthusiast and part-time trader. I started writing for Seeking Alpha in 2011, and it has been a tremendous opportunity and learning experience. I have been interested in the markets since elementary school, and hope to pursue a career in the investme ...