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/biz/ - Business & Finance

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11078100 No.11078100 [Reply] [Original]

Explain to me how this is sustainable? Like in common sense. Is it really so that this goes on like this? How is that even possible when new money needs to keep growing forever in ever increasing amounts. Isn't it far more likely we will see a healthy correction soon?

>> No.11078109

>>11078100
it's sustainable because it is generating huge profits?

>> No.11078137
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11078137

>>11078100
don't ask questions dumbass and get back to your cage

>> No.11078152

>>11078100
No. It will keep going up forever. How many shares of AMZN are you holding, anons? 26 here.

>> No.11078155

>>11078100
It's just keeping up with inflation

>> No.11078184

>>11078100
Either Amazon will be hit with regulations soon or you will see the first Megacorp that will buy its own country.

>> No.11078188

>>11078109
But how? Don't people need to keep buying the stock for sellers to profit? For it to keep up more people than sell need to buy. So very every out there need to be two ins (in value). How can it be exponential? At some point the value must be defined?

>> No.11078194

>>11078100
the guy has legal slaves and an open market, hes going to keep making money. large wholesalers of the past like costco and walmart completely failed to adapt to the internet before amazon came along and had a complete monopoly on the internet market. I blame completely the old CEO's who didn't compete well for allowing JB to become arguably the worlds richest person.

The worst part will be watching movies about the guy. Remember when they used to wait a while? Howard Hughes only got one in 2004, Steve Jobs got one a few days after his funeral

>> No.11078199

>>11078184
regulations are coming

>> No.11078216

>>11078100
The entire stock market is about to snap back to reality quite shortly

>> No.11078253

>>11078216
yes the stock market will crash any day now..
t. reading zerohedge since 2008

>> No.11078818

>>11078188
That's the thing. People are literally not selling. They just buy and hold. We might not see a correction for a very long time or at all. AMZN is kinda like the dow/s&p now.

>> No.11079241

reminder Amazon. Is tulip mania

>> No.11079258

>>11078100
Lol, your crypto bags must be heavy. Don't worry, maybe some generous whales may pump your coins one day.

>> No.11079264

>>11078109
Amazon hasn’t turned a profit dingus. Its possible through the power of the federal reserve and quantitative easing coupled with near 0% interest rates

>> No.11079268

>>11078100
it's not the crash is coming >>11078666

>> No.11079273

why is your . and , swapped?

>> No.11079274

>>11078253
>"New Paradigm"!!!

>> No.11079283
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11079283

Amazon has a near monopoly on AI computing power machines, even google buys from them. They are not going anywhere.

>> No.11079292

>>11079273
GMT-4 should've been a hint

>> No.11079297

>>11079283
>blockchain

>> No.11079310

>>11078100
All these dont understand basic valuation. Try doing a DCF analysis, NEETS. Oh thats right, all you care about is speculating about the next moonshot based on your "research"
Amazon is not just the market leader on e-commerce on everything (and keeps disrupting as they recently enter pharmacy) but also the largest cloud supplier (AWS).
You fuckers dont understand shit and its always so fucking entertaining to read your posts and comments, comedy on a lonely friday night

>> No.11079316

>>11078818
DECEMBER 2017
>people are literally not selling
>they just buy and hold
>we might not see a correction at all
>crypto is the future and bitcoin will be 100k in a few months

>> No.11079333

>>11079310
Lol DCFing Amazon would be one of the worst analysis to perform if your looking to justify its value.

>> No.11079382

>>11079310
>muh DCF analysis
>muh basic valuation
YES, Amazon is the market leader and is not going anywhere, but that does not mean it can't be overvalued

go ahead and show me your cash flow analysis because right now it is trading on a 150+ PE and a very high PB ratio too

>> No.11079399

>>11079333
I guaran-fucking-tee ya, every big financial house does it. Of course they meet management, discuss their strategy, look at their multiples - but ultimately; DCF analysis is cornerstone
>t. M&A hotshot

>> No.11079418

>>11079382
You dont realize that FB was PE at 150 back in 2013. Everyone thought it was crazy and overvalued. Look today, it has tripled and resting on a PE of around 25.
PE is not a good measurement for growth stocks in general

>> No.11079442

>>11079382
>not realizing amazon's revenue is being reinvested to syenrgize the company and make it more efficient

once they effectively synergize, you're going to see a large uptick in profit and a lowering of the p/e.

>> No.11079443

>>11079399
Of course they fucking do it, I’m just saying if you wanted to back your statement that a dcf analysis of amazon would prove its valuation you would be horribly mistaken.
t 2 Ibanking internships

>> No.11079488

>>11079418
>>11079442
That is true, but I still think it is somewhat overvalued today
looking forward to buying at 1500

>> No.11079493

>>11079382
>P/E
Thats a ratio based on accrual earnings you fucking retard. Thats the product of an army of accountants at Amazon and well as massive amounts of continued reinvestment. Once Amazons growth slows, its P/E will shoot down to normal levels just like Facebook & Google.

>> No.11079499

>>11079443
what metrics would you look at to justify it?
do you think it is properly valuated at the moment?

>> No.11079535

All these stocks are fucked once boomers start taking out retirement w/ gen x, y, and zoom unable to pick up the slack.

>> No.11079545

>>11079443
Most of what happens at Investment Banks is pricing, not valuation. M&A conpensation is directly tied to closing the deal and none of the clients actually spend considerable effort studying the models. Managers give fuckall about the long term consequences as long as the deal is accretive, and as a result their bonuses go up.

>> No.11079564

>>11079493
>Once Amazons growth slows, its P/E will shoot down to normal levels just like Facebook & Google
sure it will, you can see the future so better buy quickly

you are buying it today, on the expectation and promise that it will actually deliver the future earnings that are already priced in quite high

>> No.11079577

>>11079316
Are you brain damaged? AMZN is a multi billion dollar company with an annual profit of billions and a working global product. How can you compare it to btc a shitcoin that gets clogged the moment 2 people try to send at the same time.

>> No.11079599

>>11079499
Not going to be possible to do a full analysis on /biz/. But important metrics to look at are cost of onboarding new customers, market share in respective operating areas, net profit per onboarded customers for the past 3 years atleast, average gross from customer base, is it increasing? There are so many metrics to dig into for a behemoth like Amazon. Amazon has succeeded tremendously in capturing market share no doubt, but the most important question an investor needs to ask “is amazon able to seriously get a return on their tremendous expansion investments before it is too late.” Retail shareholders are the last to see dividends paid from profitable companies , if they even make it there. I personally would not buy any Amazon stock right now, I wouldn’t buy many stocks right now to be fair.

>> No.11079639

>>11079577
If you are calling bitcoin a shitcoin then that is enough proof that you are a retarded newfag and your opinion should be discarded.

AMZN is a great company that is still overvalued and so is most of the rest of the US stock market. You obviously hold a large position in AMZN.

Maybe you should understand that it does not matter if we are talking about gold, bitcoin, a company. When the price starts going parabolic and everyone is saying that
>people are literally not selling
is exactly when you should start thinking about selling

>> No.11079667

>>11079599
thanks for the detailed and smart response, it is obvious you know what you are talking about unlike most of the retards here
>Retail shareholders are the last to see dividends paid from profitable companies , if they even make it there.
exactly this

>> No.11079741

>>11079639
How do you know it's overvalued? I thought it was overvalued when I bought 800 at $600. People were saying it wasn't a good time to buy and it was overvalued at that time too. Thank God I didn't listen to those retards on Reddit.

>> No.11079781

>>11078109

AMZ doesn't pay dividends nor does it do buybacks. The only way to get profit out of it is to hope other people will buy your stock for more than you bought it for. Text book example of a ponzi.

>> No.11079792

>>11079741
To be fair guy, a stock can be overvalued and still go up. The price of a stock typically small correlation to its fundamental values thats the reason smart people can make money in the markets.

>> No.11079816

>>11079741

How much dividends has AMZN paid you? How many stock buybacks has AMZN done?

>> No.11079894

>>11079577
Amazon profits are 0.

Wow... Stock traders are even dumber than twitter "crypto enthusiasts".

We really are the early adopters...

>> No.11079944

>>11079564
I never said it was a good value stock, I just said the P/E wont look as ridiculous their growth slows down, because P/E is based on GAAP Net Income. A much more pure measure of current earnings power is Owners Earnings, where CapEx isnt abnormally high.

>> No.11079988

>>11079816
AMZN does neither of those things.

>>11079894
I don't mean the stock paying didvend profits. I mean the actual company. They made 3bil in pure profit last quarter or something.

>> No.11080105

>>11078137
lmao

>> No.11080423

>>11078188
>doesn't understand that stock represents fractional ownership in a business and therefore has an actual price "floor" associated with it whereas crypto represents nothing and can and should trade @ 0

>> No.11080651

Holding 20 shares (bought at 240usd) and around 7k € of call options

AND IM NOT FUCKING SELLING

>> No.11080704

>>11080651
that's fine but soon you should

>> No.11080833

bubble will pop soon, either interest rates further will rise, or inflation will take over, amazon is going to tank big time