Amazon Trade Call: Buy Ahead of Earnings

about 22 hours ago

Parkev Tatevosian, CFA

"To answer the question, is Amazon stock a buy before earnings? I think so. I bought Amazon stock before earnings. It was a few weeks ago, but I guess it was before earnings. Um, if youre interested in Amazon stock, buying before earnings is fine. If you want the less risky approach, you can buy it after earnings or you can split your purchase in two and buy half before and half after. But I wouldnt mind buying ahead of earnings. Its not so uh clear-cut where I would say yes, definitely buy it before earnings. You dont want to miss out on the upside. I cant say that. I also wont say that its too expensive that you should wait until after earnings. No, I think its a buy right now."

The speaker explains his rationale for buying Amazon (AMZN) stock before earnings. He notes that while the decision isnt clear-cut, he believes buying ahead of earnings can capture the upside, citing fair value estimates and strong fundamentals, particularly in AWS and cash flow generation.

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