3 Reasons for Long-Term Investors to Love Amazon
Amazon's (NASDAQ: AMZN) share prices have surged by over 11.6% in response to the company's stellar second-quarter results (ended June 30). Now, the stock is down by 14.4% so far this year.
Investors and analysts have become impressed with the technology titan's execution capability. Let's review the three reasons why long-term investors can consider this stock as a great buying opportunity now.
Amazon has long been known for its e-commerce business and broad fulfillment network. However, industry-leading cloud infrastructure services business Amazon Web Services (AWS) has become the key growth driver. Despite the surging inflation and technical recession (two consecutive quarters of decline in gross domestic product) in the U.S., global enterprise spending on cloud infrastructure services grew year over year by 29% to $55 billion in the second calendar quarter. Management believes this is only the early stage of cloud adoption in the enterprise and public sector space and expects demand for cloud infrastructure to increase further in the coming quarters.
Source Fool.com
