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Disclaimer: The blog posts and comments on this blog and posts on social networks are not investment recommendation, are provided solely for informational purposes, and do not constitute an offer or solicitation to buy or sell any securities. The opinions expressed on the blog are Petar Posledovich's. Petar Posledovich does not guarantee the accuracy of the information presented on this blog and social networks. The information presented is "as is". The blog is stocks analysis and valuation, Bitcoin, Cryptocurrencies, Artificial Intelligence, AI, deep-learning focused. Independent, unbiased AI insights. Petar Vladimirov Posledovich is not liable for any investment losses incurred by reading and interpreting blog posts on this blog and posts on social networks. Conflicts of interest: I may possess some of the securities, currencies or their derivatives mentioned in the blog post and posts on social networks! The blog is property of Wolfteam Ltd. www.wolfteamedge.com Respectfully yours, Petar Posledovich

Saturday, February 4, 2023

Amazon Is Unprofitable. Amazon's Intrinsic Value


Amazon Inc is unprofitable for 2022.

Yet, Amazon's market capitalisation is 1.05 trillion USD on the Nasdaq bourse.

According to my estimations and calculations, Amazon's intrinsic value is 630 billion USD.

This compares to Amazon's market cap of almost 2 trillion USD just one year ago.

Amazon's international merchandising business was and is unprofitable as it is, the US merchandise delivery business produces net income.


Amazon's recent high Price/Earnings ratio of 100 + was mainly due to the high profitability and expected high growth rates of its cloud computing business service AWS.

AWS cloud's growth is slowing down significantly as evidenced by the numbers reported by Amazon Inc for the fourth quarter of 2022 only days ago and this naturally crashes Amazon Inc's worth and its market capitalisation.

Cloud computing is the future though, I think.

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