Amazon Stock Underperforms S&P 500 and Nasdaq-100 Since Bezos Stepped Down as CEO

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โดย The Motley Fool·Read original
Summary · why it matters

Amazon stock has badly underperformed the S&P 500 and Nasdaq-100 over the five years since founder Jeff Bezos stepped down as CEO and handed the reins to Andy Jassy. The stock posted an average annualized return of just 6.8% over that stretch, trailing the S&P 500's 11.5% and the Nasdaq-100's 14.2%, and lagging all other Magnificent Seven stocks. Amazon Web Services lost cloud market share to Microsoft and Alphabet, falling from about 33% in 2021 to roughly 28%, while heavy AI infrastructure spending has yet to convince investors of a payoff. However, AWS net sales grew 28% last quarter to about $38 billion, the best growth rate in 15 quarters, and the company holds $364 billion in contracted backlog plus a recently inked $100 billion deal with Anthropic. With the stock trading at 29 times forward earnings and a promising AI chip venture that has secured some $225 billion in revenue commitments, the article suggests the years of underperformance may have created a buying opportunity.

Impact on stocks 3

Artificial Intelligence▲ · 3 stocks
Amazon.com Inc
AMZN
± MixedCapitalrelevance

Stock underperformed but has strong AWS growth and AI deals, creating a potential buying opportunity.

Theme Impact 3

Off-coverage companies 1

AnthropicPrivate▲ Positive
Demandrelevance

Anthropic signed a $100 billion deal with Amazon.

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