With the Nasdaq Composite Index and S&P 500 reaching all-time highs, primarily driven by the remarkable success of the “Outstanding Seven” companies collectively, investors may be pondering the availability of worthy investment opportunities. Rest assured, lucrative avenues to allocate your funds do exist.
Even among the “Outstanding Seven,” there exists a prominent industry-leading corporation that demands attention presently. This revelation follows the substantial 22% surge of this e-commerce stock in 2024 thus far (as of April 5).
In the vein of March Madness, this corporation has the potential to be a high-achieving investment. Acquiring $1,000 worth of shares could prove to be a wise decision. Here’s why.
Diverse growth trends
The entity in question here is none other than Amazon (NASDAQ: AMZN). This massive business is involved in diverse sectors, all of which are benefiting from enduring growth factors.
Amazon’s primary offering is its flourishing e-commerce platform. The website attracts billions of visitors every month, illustrating its widespread popularity.
As per statistics from the Federal Reserve, online retail accounted for merely 15.6% of total retail expenditure in the U.S. during the final quarter of 2023. This indicates a substantial untapped potential for e-commerce expansion. Amazon is primed to capture a considerable portion of this growth.
Another area that is likely to sustain the company’s progress is its streaming entertainment segment. Amazon Prime Video has emerged as a preferred choice among viewers. Subscribers may initially join for content streaming purposes, but gradually, they could transition to shopping on the platform.
The ultimate significant secular trend working in Amazon’s favor is cloud computing, a sector projected to be valued at $1.6 trillion by the conclusion of this decade. Amazon Web Services (AWS), holding a dominant market share, has consistently been the primary driver of growth and profits for the overall corporation. Its operational margin stood at an impressive 29.6% in Q4.
…
