Amazon Becomes World’s First Public Company to Lose $1T in Market Value

https://www.bloomberg.com/news/articles/2022-11-09/amazon-hits-unwelcome-milestone-with-1-trillion-in-value-lost

by mfiguiere • 4 years ago

42 14 4 years ago

bloomberg.com

SevenNation• 4 years ago

And still a price/earnings ratio over 70, and no dividend in sight.

What exactly to people imagine they're buying when they plunk down money for shares in this company?

frozenport• 4 years ago

Non-speculators believe Amazon can increase prices by 1% and make a killing.

crazygringo• 4 years ago

They imagine they're buying into a company that will start paying dividends once it stops seeing further areas of massive growth.

But for right now, they're quite content for Amazon to be e.g. reinvesting its profit into things like its own last-mile delivery service, for starters.

Once Amazon becomes more popular than UPS, Kroger, Walgreens, and probably five other companies in their respective markets, then it'll be time to open the dividends tap. But that doing it now would be throwing away money, sacrificing future profit for present.

I'm not saying I do or don't think Amazon is going to succeed in these things, but I do think that is absolutely what people invested in Amazon believe they're buying.

pessimizer• 4 years ago

A future monopoly that can raise prices at will. They're making a bet that government will not function.

emkemp• 4 years ago

Long-term capital gains?

jeffrallen• 4 years ago

Watching Amazon, Twitter and Meta these last few days has almost given me "death by Schadenfreude".

nakedgremlin• 4 years ago

https://archive.ph/fEH7I

cryoz• 4 years ago

Unfortunately, buying anything from Amazon as a retail customer feels like playing a game of roulette these days.

thunky• 4 years ago

Ah I remember the good old days when everyone hated Walmart. And liked Amazon and Google.

karmakaze• 4 years ago

I agree. And yet I still took this story as a reminder to buy some AAA rechargeable batteries.

They were double the price at my local big-box/hardware store.

lvl102• 4 years ago

I am pretty convinced Amazon the stock is going to be a big bargain within the next couple of weeks. At somewhere around $700-800B it’s going to be less than intrinsic. These are global enterprises with significant TAM in a world where more than half of the population will experience significant increase in standard of living in the next decade or two. All they have to do is hold market leaderships as monopolies.

zen21• 4 years ago

Protectionism will likely prevent that.

thinkmcfly• 4 years ago

Amazon has largely become Chinese crap in American warehouses

barbazoo• 4 years ago

To be fair, that's also true for Walmart and co.

Amazon Becomes World’s First Public Company to Lose $1T in Market Value

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