Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, online retail giant Amazon.com (AMZN 0.78%) has received a distressing two-star ranking.
With that in mind, let's take a closer look at Amazon and see what CAPS investors are saying about the stock right now.
Amazon facts
|
Headquarters (founded) |
Seattle, Wash. (1994) |
|
Market Cap |
$128.6 billion |
|
Industry |
Internet retail |
|
Trailing-12-Month Revenue |
$57.3 billion |
|
Management |
Founder/Chairman/CEO Jeff Bezos CFO Thomas Szkutak |
|
Return on Capital (average, past 3 years) |
11.7% |
|
Cash/Debt |
$5.3 billion / $0 |
|
Competitors |
Apple (AAPL +0.01%) eBay (EBAY +0.90%) Wal-Mart (WMT 1.30%) |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 21% of the 6,727 members who have rated Amazon believe the stock will underperform the S&P 500 going forward.
Just last week, one of those Fools, 401ktimer1, wrote that the Amazon bear case all boils down to price:
Sky high valuation -- the stock price seems to discount years of earnings growth. Market cap of $125 Billion and forward P/E of >150. Even though the company is great, the current stock price leaves little room for future appreciation.
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