3 ms·
I wuld argue a large chunk of amzn market cap is due to aws, Their retail operations just don't make a lot of money.
by samfisher83 10y ago
I wuld argue a large chunk of amzn market cap is due to aws, Their retail operations just don't make a lot of money.
- garrettgrimsley 10y agoAm I reading their earnings report [0] wrong, or do their net sales as a whole not dwarf their AWS sales? What are you basing your argument on? [0] http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9NjU4MjQ1fENoaWxkSUQ9MzY0NTY2fFR5cGU9MQ==&t=1 http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9N...
- gizmo 10y agoAWS has a healthy profit margin, excellent growth prospects, recurring revenue, and significant lock-in. AWS is expected to do 15 billion or so in revenue for 2017. As an independent business it would trade on at least 10 times revenues, so that means AWS comprises 150bn out of the 400bn in market cap.
- garrettgrimsley 10y agoThanks for the explanation, that is quite a large chunk!