Introduction to Amazon
Amazon.com, Inc. (AMZN), incorporated in 1994 and headquartered in Seattle, Washington, has grown to become one of the most influential companies in the world. Since its humble beginnings as an online retailer of books, Amazon has expanded beyond its origins into a broad spectrum of industries, including retail, technology, and subscription services.
What Is Amazon?
Amazon is a global technology and retail giant that operates through a variety of business segments. The company’s three primary segments are: North America, International, and Amazon Web Services (AWS). The North America and International segments engage in the retail sale of consumer products, catering to millions of customers across the world. Amazon’s extensive reach is further supported by its subscription services and advertising platforms, making it a dominant player in the global market.
AWS is a leader in providing cloud computing, storage, database, and machine learning services. AWS has become a critical part of Amazon’s overall business strategy, driving significant revenue and profit growth. In addition to these core operations, Amazon manufactures and sells electronic devices that serve to further diversify its product offerings.
Beyond its traditional retail and technology services, Amazon has also developed programs that enable independent sellers, authors, musicians, and content creators to publish and sell their products.
How Does Amazon Make Money?
Amazon is mostly known for the retail sale of consumer products, advertising, and subscription services through online and, more recently, physical stores in North America and internationally. Of course, that also includes Amazon Prime, which allows subscribers to save on delivery costs and access other services. The company also manufactures and sells electronic devices, including Kindle, Fire tablets, Fire TVs, Echo, Ring, Blink, and eero, and develops and produces media content. Amazon also makes money through Amazon Web Services, a cloud computing service.
Amazon Company and AMZN Stock Overview
How many employees does Amazon have?
Amazon employs approximately 1,525,000 people around the world.
When did Amazon go public?
Amazon went public on the Nasdaq on May 15, 1997, under the ticker symbol AMZN. Amazon’s IPO price was $18.00, or $0.075 adjusted for its subsequent stock splits, according to Amazon Investor Relations.
Amazon’s Historical Stock Price
Information about the historical price of AMZN stock can be found in the table below. You can also get a more detailed look at Amazon’s stock price in the charting tab of AMZN’s symbol page.
Month Starting |
Open |
Close |
Jan. 02, 2024 |
151.54 |
155.20 |
Jan. 03, 2023 |
85.46 |
103.13 |
Jan. 03, 2022 |
167.55 |
149.57 |
Jan. 04, 2021 |
163.50 |
160.31 |
Jan. 02, 2020 |
93.75 |
100.44 |
Amazon’s Revenue
Amazon’s annual revenue has been steadily increasing year over year since 2015. Amazon reported $575 billion in revenue in fiscal year 2023. More details about Amazon’s revenue can be found in the table below, and you can also see more data in the financials tab of AMZN’s symbol page.
Year |
Revenue (millions) |
Dec. 2023 |
574,785 |
Dec. 2022 |
513,983 |
Dec. 2021 |
469,822 |
Dec. 2020 |
386,064 |
Dec. 2019 |
280,522 |
Amazon’s Market Capitalization
Amazon’s market capitalization is $1.81 trillion, according to the Capital Structure sub tab on AMZN’s symbol page as of publishing.
Amazon’s Earnings History
Amazon’s earnings history can be found in the table below. More detailed information can also be found on the earnings tab of AMZN’s symbol page.
EPS |
Revenue |
|
Q2 2024 (Jun. 2024) |
1.26 |
147.98B |
Q1 2024 (Mar. 2023) |
0.98 |
143.31B |
Q4 2023 (Dec. 2023) |
1.00 |
169.96B |
Q3 2023 (Sep. 2023) |
0.94 |
143.08B |
Amazon’s Dividends
Amazon doesn’t pay a dividend currently. However, you can view details of a hypothetical dividend on the dividend tab of the AMZN symbol page. A hypothetical dividend is calculated by multiplying Amazon’s next fiscal year EPS estimate by a range of hypothetical payout ratios.
Who Owns Amazon & AMZN Shareholder Breakdown
According to the ownership section on the symbol page for AMZN, the shareholder breakdown is:
-
Corporations (Public): 0.10%
-
State Owned Shares: 0.09%
-
Individuals / Insiders: 10.63%
-
Institutions: 63.16%
-
Public and Other: 26.02%
Key Leadership in Amazon
Jeff Bezos, the founder of Amazon, is currently the Executive Chairman. The President and CEO of Amazon is Andy Jassy. Amazon Web Services’ CEO is Matt Garman. Worldwide Amazon Stores’ CEO is Doug Herrington. More details about Amazon’s executives and senior leadership can be found on Amazon’s Investor Relations website.
Outlook and Growth for Amazon
Many of Amazon’s compound annual growth rates have been increasing year over year, including revenue, EBITDA, and net income. You can view Amazon’s growth metrics and in-depth growth ratings on the growth tab of AMZN’s symbol page.
Amazon Compared To Peers
Some of Amazon’s key peers are other online retail stores like Alibaba and PDD Holdings. The chart below compares Amazon to a couple of these key peers, and further details can be found on the peers tab on Amazon’s symbol page.
AMZN |
BABA |
PDD |
|
Market Cap |
1.80T |
189.66B |
129.57B |
Enterprise Value |
1.87T |
176.80B |
91.71B |
Employees |
1,525,000 |
198,162 |
17,403 |
Amazon’s Core Products and Services
Amazon offers a diverse array of products and services across multiple sectors, positioning itself as a leader in both the retail and technology industries. The company’s core offerings include retail sales through online and physical stores, which serve customers in North America as well as internationally. Amazon’s retail operations are supported by its extensive range of subscription services, such as Amazon Prime, which provides members with exclusive benefits. Additionally, Amazon is a major player in the technology space through Amazon Web Services, which delivers cloud computing, storage, database, and machine learning services. The company also manufactures and sells a wide range of electronic devices, such as its Kindle e-readers, Fire tablets, Echo smart speakers, and Ring security systems. Amazon’s offerings also extend beyond retail and technology with a wide range of creators and sellers with platforms that allow them to publish and sell products, including books, music, and digital content.
Amazon Fun Facts
How many products does Amazon have?
The number of products available on Amazon is constantly changing as new listings are always being added across various categories.
How many distribution centers are in Amazon’s supply chain?
Amazon’s fulfillment network includes hundreds of facilities around the world, including sortable and non-sortable fulfillment centers, sortation centers, receive centers, and delivery stations, according to the company.
How many countries is Amazon available in?
Products from Amazon are available to customers in more than 100 countries and regions, according to Amazon.
Conclusion
Amazon’s meteoric rise from an online bookstore to a global powerhouse is a testament to its relentless innovation and expansion across industries. With its comprehensive product offerings, ranging from consumer goods and electronics to cloud computing and digital content, Amazon continues to redefine the boundaries of retail and technology. The company’s vast operations, supported by its three key segments, North America, International, and Amazon Web Services, ensure a dominant presence in global markets. As Amazon continues to evolve, catering to millions of consumers, businesses, and creators worldwide, its influence shows no signs of waning. Investors who have or are considering a position in Amazon can find confidence in the company’s ongoing growth and leadership in the eCommerce, cloud, and digital content spaces.
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