Is Amazon Stock a Buy After Its Biggest Prime Day Ever?

Macroeconomic difficulties have hit Amazon (NASDAQ: AMZN) hard this year. Inflationary pressures added billions of dollars in incremental expenses during the last few quarters, due in large part to higher fuel and shipping costs, rising wages, and supply chain disruptions.

More broadly, inflation hit a 41-year high of 9.1% in June, meaning rising prices have outpaced the 2% target set by the Federal Reserve for 16 consecutive months. This implies that consumer spending is under serious pressure, and discretionary purchases are often the first thing to get cut. Not surprisingly, many retailers have seen their share prices plunge in recent months, and Amazon is no exception. The stock is down 40% from its high.

However, Amazon gave shareholders a reason to smile on Thursday, when it published a press release detailing the results of Prime Day. Consumers purchased more than 300 million items during the two-day event, a 20% increase from the prior year, making 2022 the biggest Prime Day on record.

Source Fool.com