Buying a "horse" for the New Year, wishing for success with Amazon

Recently, I've been opening positions in batches around $220-200 for $Amazon(AMZN.US). 2026 is the Year of the Horse. Since we have the saying "success comes as soon as the horse arrives," let's start with "Ama"zon!

The main considerations are still the fundamentals and valuation.

As everyone knows, Amazon's core is no longer just the world's largest e-commerce platform. AWS cloud services continue to grow at a high rate, bringing stable and high profits, making it the strongest driver of overall performance. High-margin businesses like advertising and platform services are also expanding rapidly, improving overall profitability.

What's more, I'm very optimistic about Amazon's strong push towards the future of logistics automation: from warehouse robots and smart picking systems to drone and autonomous delivery vehicle pilots. While these investments increase costs in the short term, they can significantly improve efficiency, reduce labor costs, and enhance delivery competitiveness in the long run, further turning its logistics system into a moat rather than a cost burden!
 

In terms of valuation, after the stock price retreated from its highs, I feel the market is focusing more on the uncertainty surrounding short-term capital expenditure and AI investments, overlooking its long-term moat and scale advantages. By the standards of a growth giant, the current valuation has returned to a relatively reasonable range, and the risk-reward ratio is starting to favor the bulls.

I place more importance on the compounding ability over three to five years rather than quarterly fluctuations. Building positions in batches around $200, the overall downside is limited. Instead, we can bet on its long-term competitiveness and cash flow quality.

If the logic remains unchanged, time will be on the side of patience~

Wishing everyone success as soon as the horse arrives!