Ridiculously oversold, Amazon (AMZN) is showing signs of life again.
After dipping to a low of about $96.23, the stock appears to have caught strong support. From a current price of $100.31, we’d like to see AMZN again challenge $115 near-term. While the stock has come under pressure with macro uncertainties, and high inflation, its future is still strong. For example, its AWS cloud hosting business could see a massive opportunity.
In fact, according to CEO Andy Jassy on a Q4 earnings call: “I think it’s also useful to remember that 90% to 95% of the global IT spend remains on-premises. And if you believe that, that equation is going to shift and flip, I don’t think on-premises will ever go away, but I really do believe in the next 10 to 15 years that most of it will be in the cloud if we continue to have the best customer experience, which we have to work really hard at an event which we’re working to do. It means we have a lot of growth in front of us in the AWS business.”