Where Will Amazon Be in 1 Year?
After a steady ascent this year, Amazon (NASDAQ: AMZN) stock got crushed after it released its second-quarter earnings results last week. The reason? Amazon's guidance didn't impress the market, despite a strong second quarter performance, causing the stock to decline by nearly 13% since, as well as pushing down year-to-date stock gains to just 7% from a peak of 31% last month.
However, investors who take a long-term view of the business know such market movements are short-sighted, since they necessarily take into account only the current snapshot of the company's operations. However, investors do get nervous, because they don't know if this update portends trouble up ahead. So what should investors expect from Amazon, and where will the business be a year from now?
Amazon reported a 10% year-over-year increase in revenue in the 2024 second quarter, including a 19% increase for Amazon Web services. (AWS). It's investing in all over its business to keep up the momentum, specifically in improving e-commerce and in developing generative artificial intelligence (AI).
Source Fool.com
