The best for Amazon on the exchange could still be coming: Amazon 5 trillion market cap 10000 USD share 2025 reality - why the 5 trillion market cap or the $ 10,000 per share may be a reality in 2025.

Rarely in the history of the markets the ranking of companies by market capitalization is a still photograph: the change is constant.

However, technology is changing reality and there are 3 companies that seem to stand out and will dispute the throne in the next decade: Amazon, Apple and Microsoft.

Which can be better placed to achieve it and, above all, to maintain it?

Many experts point to Amazon for the diversification of its business and for the foreseeable evolution of trends in the coming years. Also, for the strategy you are implementing.

Amazon 5 trillion market cap 10000 USD share 2025 reality

It seems the prophecy could be fulfilled.

The e-commerce giant is well positioned to be the first company to reach a market capitalization of 3 trillion dollars (about 2.5 trillion euros). Something unprecedented. By 2025, according to market consensus data, Amazon could get its shares worth $ 10,000.

What does that mean? Basically, that in 4 years their valuation on the stock market could be more than 5 billion dollars (4.2 billion euros) and that their competitors could be far behind in this particular race that they now lead.

The shares of the apple sign are completely flat so far this year, while its valuation is around 2.2 billion dollars (1.68 billion euros). In turn, Microsoft titles have advanced around 19% on Wall Street. The market capitalization of the firm founded by Bill Gates is already around 2 billion dollars(over 1.68 billion euros).

The current capitalization of Amazon is 1.76 trillion dollars (around 1.48 trillion euros) and its shares have been revalued by 9.5% in 2021.

Amazon 5 trillion market cap 10000 USD share 2025 reality

It's no secret that Amazon valuation doesn't make much sense using traditional fundamental analysis. ” This means that its price-benefit ratio (PUR) and book value have always been in bleeding territory, but none of the 2 indicators is worth much when we talk about an emerging and fast-growing business, " JPMorgan experts point out in a recent report.

Since Amazon reinvests most of its capital, operating cash flow and historical multiples are more appropriate indicators to assess Jeff Bezos ' company progression.

Since 2010, Amazon has finished each of the last 11 years at multiples of 23 to 37 times its operating cash flows. Again, from a fundamental perspective, this might seem high. But some experts don't see it that way.

” Given Amazon's absolute dominance in e-commerce and cloud infrastructure services, these are reasonable figures for Wall Street and investors have been perfectly willing to support them for more than a decade, " Jefferies experts highlight.

Amazon 5 trillion market cap 10000 USD share 2025 reality: Several Wall Street analysts have recently raised their target price for Amazon, claiming a favorable environment for their business units. JPMorgan, which recommends overweighting, raised the target for the value to $ 4,600 (EURO3, 860) per title from $ 4,400 (EURO3, 692).

With the release of the results for the second quarter of the year just around the corner, it may be a good time to look at developments on that path to the top. The market consensus predicts that the profit per share for the second period of the year will be $ 12.21, compared to $ 15.79 in the first quarter of 2021. Of course, it projects that its income will add 115,290 dollars (96,779 million euros) from the 108,520 million dollars (91,096 million euros).

As we look to 2021 and the years to come, average analysts across the Atlantic are very clear that they expect AWS, in Amazon's cloud business, to help generate more than double Amazon's cash flow per share. Given that analysts & apos; estimates are dynamic, a cash flow per share of $ 153.75 at the end of this year and $ 341.70 in 2025 would be expected.

Amazon 5 trillion market cap 10000 USD share 2025 reality

” This means that if Amazon simply kept its valuation at the median of its operating cash flow multiple (30 times) over the past 11 years, its share could exceed $ 10,000, " says Sean Williams, TMFUltraLong analyst.

This scenario seems almost unreal, but the truth is that it is a threshold that fits with the usual valuations of the company.

” As long as AWS continues to grow at a rate of 30% in revenue, the 10,000 dollars (8,395 euros) per title in 2025 would become a very achievable goal in 4 years", aventura Williams.

And what can lead Amazon to be the one pulling the Wall Street car ahead of Apple or Microsoft? Especially, 2 lines of business: e-commerce and its cloud division.

In relation to ecommerce, Amazon continues to generate new users. Amazon already has more than 150 million Prime members, as reflected in eMarketer data.

In Spain, it has positioned itself as the brand that generated the most traffic to its page, with an increase of 252.41% between January 2019 and September 2020, according to SEMrush data.

” We can probably safely assume that this figure increased substantially during 2020, with consumers trapped in their homes due to the coronavirus pandemic, " Goldman Sachs says.

But this is not the most striking figure. Amazon controls approximately 40.4% of all U.S. online sales, according to an April 2021 eMarketer report. That is, of every dollar spent in the American country, 40 cents go to the coffers of the firm based in Seattle.

Amazon 5 trillion market cap 10000 USD share 2025 reality: In Spain, Amazon is a leader in this segment with a 15.7% market share. The company's revenue amounted to 5,400 million euros in 2020.

"Amazon is well aware of how narrow retail margins can be and has tried to compensate by boosting its Prime service, which may grow over the next few years,” comment analysts at Goldman Sachs.

With more than 200 million Prime members worldwide, Amazon can use the revenue derived from this service to lower the price of items.

But Amazon goes far beyond ecommerce.

The company's cloud infrastructure business, Amazon Web Services (AWS), is also a true transatlantic.

According to data from analytics company Canalys, cloud revenue spending worldwide in the first quarter of 2021 amounted to $ 41.8 billion. Google Cloud accounted for 7% of that business, Microsoft Azure was responsible for 19%, and AWS stood firm with a market share of 32%.

What's important to note about AWS is that the margins associated with cloud infrastructure services are much higher than Amazon's online sales.

Although AWS accounted for $ 13.5 billion of the company's $ 108.5 billion in net sales in the first quarter of 2021, it generated nearly $ 4.2 billion in operating revenue. Amazon's other businesses, which contributed $ 95 billion in revenue, contributed $ 4.7 billion in operating revenue.

” As AWS accounts for a large percentage of total sales, operating revenue and cash flow will grow at a much faster rate than the company's total turnover, " concludes Goldman Sachs.

# Amazon 5 trillion market cap 10000 USD share 2025 reality #