In the spirit of World Cup competition, we're holding our own tournament in search of the Better Stock Today. We're pitting 32 companies against each other and you, the reader, will determine the winner.
Citigroup (C +2.20%) takes on Amazon.com (AMZN +0.26%) for this first round-robin match-up in our search for the better stock today.
Financials analyst Tyler Riggs believes that the biggest reason Citigroup is the strongest buy in the field is because Wall Street has got it all wrong. Instead of following the herd and focusing on just two numbers -- top-line revenues and bottom-line earnings -- savvy investors are reading between the lines on this company and finding an incredibly efficient core banking operation that's thriving. Add Citigroup's unmatched international reach to the equation, and you've got a huge opportunity to get in before Wall Street realizes what they're missing.
Fool tech analyst Nathan Hamilton believes the No. 1 reason Amazon.com should win this match is Amazon Prime. Prime is Amazon's subscription-based offering that aligns well with the company's strategy where up-front profitability is sacrificed to create a user base that is profitable and sticky in the long-term.
According to a study conducted by Consumer Intelligence Research Partners in 2013, a Prime member spends $1,340 annually, roughly double the amount a non-Prime member spends. As a result, free cash flow -- CEO Jeff Bezos' preferred gauge of fundamental performance -- benefits as the company generates a stable source of cash to reinvest in Amazon's R&D-heavy initiatives. Investors will want to keep an eye on Prime, as it will be a key driver of shareholder value.
Vote here to determine the winner of this match and sound off in the comments box below. Check back to Fool.com to see who advances in the tournament.
