Is Amazon’s Stock Price Justified? What It Means If It Is (2017)

Re:Is Amazon’s Stock Price Justified? What It Means If It Is... by oezi on Saturday July 10, 2021 @12:07PM (#27794341)

The main reason that the analysis is flawed is that Amazon just funnels their profits into R&D which hides it in plain sight. Last year they spend 45 bn USD on R&D which is 10% of their total revenue and double their profit.

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Re:Is Amazon’s Stock Price Justified? What It Means If It Is... by quickthrowman on Saturday July 10, 2021 @12:17PM (#27794428)

It’s not hiding profit, it’s reinvesting in growth… Amazon is saying to investors that they think they can give investors a better return on cash by reinvesting it into Amazon than distributing it to investors to put to work elsewhere.

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Re:Is Amazon’s Stock Price Justified? What It Means If It Is... by rightbyte on Saturday July 10, 2021 @12:25PM (#27794493)

Are there not tax reliefs on RnD? It is more likely they hide operations as RnD.

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Re:Is Amazon’s Stock Price Justified? What It Means If It Is... by oezi on Saturday July 10, 2021 @12:39PM (#27794617)

I don't think they are. Operations are reported separately.

They are just having R&D 50% bigger than Google.

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