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Amazon is mature as well; maybe not as mature, but 20 years is an old company. And Walmart has been making profits for decades, while their revenue has grown d
by pdq 12y ago
Amazon is mature as well; maybe not as mature, but 20 years is an old company. And Walmart has been making profits for decades, while their revenue has grown dramatically, and while they have been building extremely expensive stores and warehouses and supply chains.
> Why show a profit if you don't have to? Management is obviously finding pretty good, revenue-growing investments.
This is the nonsensical mentality that has blown up Amazon's stock price for more than the past decade. In the short term, absolutely, ramp up revenue and take losses getting there. In the long run, businesses exist to make the shareholders money.
- srdev 12y agoActual age in years is not particularly relevant in terms of maturity. Maturity, in this thread, has been used in terms of revenue growth. Amazon's revenue grew 20% over the last year, while Wal Mart's grew 1.6%. Its still valid to say that Amazon is in growth mode.
- bequanna 12y ago>but 20 years is an old company Umm, Google is a ~16 year old company. In 4 years, will they be an 'old company'? Please... >This is the nonsensical mentality This is how huge, borderline monopoly business are built. I am not sure you grasp their strategy. It sounds like you may be more comfortable investing in a stable, dividend paying, old line business that you understand.
- pdq 12y agoGoogle made more profits last year than Amazon has made in its history. They have scaled well and are in a high margin business, and Amazon is not. It's just that simple.
- deleted 12y ago[deleted]