When investors think of Amazon (AMZN), chances are that e-commerce is the first thing that comes to mind. But Amazon is far more than that. While it still dominates the e-commerce market, it has grown into a tech giant, with a 31% market share in global cloud computing. It has also ventured into digital entertainment, healthcare, logistics, and even nuclear power. Amazon is one of the seven leading technology companies, named the “Magnificent 7” that have dominated the stock market in recent years. The Magnificent 7 group includes Tesla (TSLA), Meta Platforms (META), Apple (AAPL), Netflix (NFLX), Microsoft (MSFT), Nvidia (NVDA), and Alphabet (GOOGL).
Amazon stock soared 46.3% last year as the artificial intelligence (AI) frenzy continued. Its recent fourth-quarter results were outstanding, and long-term growth prospects remain promising. Yet, a conservative outlook for the first quarter of 2025 resulted in a modest drop in the stock price. So far this year, the stock is up only 1.7% compared to the overall market.
