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Posted by rango55 (on March 20, 2012)
AMZN is in the process of buying Kiva Systems (Boston based startup) for $775 million. Going to revolutionize their warehouses. Here's a video of what they do
Posted by timholland (on March 23, 2012)
I love AMZN and Jeff Bezos. Great company. They're building a formidable moat and are going to do what Apple did with the iPod with their Kindle.
BUT, yes there's a but. I'm held back by price. They're even trading above their normal price to book multiple (Book Price). Would love to see it drop down to a more reasonable price. Could definitely convince myself to buy based on it being a GARP stock.
Posted by daniele.castelli (on September 12, 2012)
buy or not to but at this price?
Posted by pbanik (on September 14, 2012)
AMZN is trading at over 300 times earnings
The problem for AMZN is their income has shrunk in back to back quarters: http://financials.morningstar.com/income-statement/is.html?t=amzn®ion=USA&culture=en-US
It's trading close to its' 52 week high. Don't buy at this price. It's too expensive, unless you believe the stock will climb much higher than what it is trading at. If you bought in the fall of 2008, when the stock was trading at $41.75, then maybe, but it was probably too expensive even at that price. Wait for the stock to drop to more reasonable levels, or consider buying other stocks that are trading at more reasonable price levels.
Posted by quantumcanuck (on March 20, 2012)
setting the discount rate on the growth price at 10%, since amazon is a pretty reliable company, but the market is still assuming a 30% year-on-year growth to hit its current price of $183. i really like them as a company, but can someone please explain why they think this would be a good buy right now?
Posted by gsanta111 (on March 29, 2012)
Their probably going on the assumption that the past 5-year EPS growth rate(25.02%)will continue going forward.
Or maybe they're using the past 5-year growth rate in sales (35.03%)
That's all I can think of.