Market Analysis: Amazon.com And Competitors In Broadline Retail Industry - Amazon.com (NASDAQ:AMZN)

Core Insights - The article provides a comprehensive analysis of Amazon.com in comparison to its major competitors in the Broadline Retail industry, focusing on financial metrics, market position, and growth potential to offer valuable insights for investors [1] Company Overview - Amazon is the leading online retailer, with retail-related revenue accounting for approximately 75% of total revenue, followed by Amazon Web Services (15%), advertising services (5% to 10%), and other segments [2] - International sales contribute 25% to 30% of Amazon's non-AWS revenue, with Germany, the United Kingdom, and Japan being the leading markets [2] Financial Metrics Comparison - Amazon's Price to Earnings (P/E) ratio is 35.95, which is lower than the industry average by 0.74x, indicating potential value [5] - The Price to Book (P/B) ratio of 7.54 exceeds the industry average by 1.02x, suggesting the stock may be trading at a premium [5] - Amazon's Price to Sales (P/S) ratio of 3.79 is 1.65x higher than the industry average, indicating possible overvaluation [5] - The Return on Equity (ROE) stands at 5.68%, slightly above the industry average, reflecting efficient equity utilization [5] - Amazon's EBITDA is $36.6 billion, which is 5.91x above the industry average, indicating strong profitability [5] - The gross profit of $86.89 billion is 5.24x above the industry average, showcasing robust earnings from core operations [5] - Revenue growth of 13.33% surpasses the industry average of 11.18%, indicating strong demand for products or services [5] Debt-to-Equity Ratio Insights - Amazon's debt-to-equity (D/E) ratio is 0.4, indicating a favorable balance between debt and equity compared to its top 4 peers [10] - The D/E ratio analysis aids in evaluating the company's financial health and risk profile [8] - Overall, Amazon demonstrates strong financial health and growth prospects compared to industry peers, with a low P/E ratio suggesting potential undervaluation and high P/B and P/S ratios indicating overvaluation [8]