Should I Buy AMZN Stock in 2026?

Data-driven analysis and honest assessment for Amazon.com Inc

Analysis Updated:
CAUTIONSeveral concerns warrant careful consideration

Current Price: $246.47P/E: 34.9

Decision Score

4.9/10

Weak

Based on 6 fundamental factors

Score Breakdown:

Valuation (20%)5/10

Elevated P/E of 34.9

Growth (20%)5/10

Slow growth of 0%

Profitability (20%)4/10

Thin margins (0% net)

Financial Health (15%)5/10

Financial health data limited

Cash Flow (15%)6/10

Decent FCF yield of 3.7%

Insider Activity (10%)5/10

Balanced insider activity

Key Investment Metrics

Current Price

$246.47

P/E Ratio

34.93

Revenue Growth

0.1%

Profit Margin

0.1%

Market Cap

$2644.1B

Dividend Yield

None

How AMZN Compares to Competitors

Understanding how AMZN stacks up against peers helps inform your investment decision.

How AMZN Compares to Peers

Upcoming Events for AMZN

+5 Reasons TO Buy AMZN

1. High gross margins of 50%

moderate

Gross margins above 50% typically indicate strong brand value or intellectual property moats.

2. Large-cap stability and market leadership

moderate

With market cap over $100B, this company has established leadership and resources to weather cycles.

-5 Reasons NOT to Buy AMZN

1. Thin profit margins of 0.1%

high risk

Low margins provide little cushion against cost increases or pricing pressure.

2. Premium valuation at 35x earnings

medium risk

P/E of 35 requires sustained growth to justify. Multiple compression risk exists.

3. Minimal revenue growth

low risk

Growth of 0.1% barely keeps pace with inflation.

Who Should Buy AMZN?

Investment Profile

Risk Level

Medium

Recommended Holding Period

3-5 years

Best For:

    Not Suitable For:

    • Growth Investors

      Limited 0% growth may disappoint

    • Value Investors

      Premium P/E of 35 doesn't fit value criteria

    • Income-Focused Retirees

      No dividend paid

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    Pro tip: Compare AMZN directly with competitors using our comparison tool to see which stock better fits your criteria.

    Get the Full Picture

    Access AI-powered insights, DCF valuations, insider trading data, and real-time analysis for AMZN

    Frequently Asked Questions

    What is AMZN stock price today?

    AMZN (Amazon.com Inc) stock is trading at $246.47 as of the latest market data. Stock prices update in real-time during market hours (9:30 AM - 4:00 PM ET).

    Is AMZN stock going up or down today?

    AMZN stock price movements are influenced by market conditions, news, earnings reports, and investor sentiment. Check our live dashboard for real-time price changes and technical indicators.

    Should I buy AMZN stock now?

    The decision to buy AMZN depends on your investment strategy, risk tolerance, and financial goals. Our AI analysis evaluates fundamentals, valuation metrics, growth prospects, and market conditions to help inform your decision.

    Is AMZN a buy, hold, or sell right now?

    Our AI-powered analysis provides buy/hold/sell recommendations for AMZN based on multiple factors including valuation, growth metrics, technical indicators, and analyst consensus. Visit our dashboard for the latest recommendation.

    Is AMZN stock overvalued or undervalued?

    AMZN currently trades at a P/E ratio of 34.93, which may indicate premium valuation. Our DCF calculator provides intrinsic value estimates to help determine if AMZN is fairly priced.

    What is AMZN's P/E ratio?

    AMZN has a price-to-earnings (P/E) ratio of 34.93, which measures how much investors are willing to pay per dollar of earnings. Compare this to industry peers and historical averages for context.

    What is AMZN's market cap?

    AMZN (Amazon.com Inc) has a market capitalization of $2644.09 billion, making it a large-cap stock.

    What is AMZN's price to book ratio?

    AMZN trades at a price-to-book (P/B) ratio of 7.15, which compares the stock price to the company's book value per share. A P/B below 1.0 may indicate undervaluation, while above 3.0 may suggest premium pricing.

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    Disclaimer

    This analysis is for informational purposes only and should not be considered financial advice. The decision score and recommendations are based on quantitative factors and do not account for all risks, your personal financial situation, or qualitative factors. Always do your own research and consider consulting with a financial advisor before making investment decisions.