It’s no exaggeration to say that Amazon (NASDAQ:AMZN) is a juggernaut in multiple market sectors. The critics can complain that AMZN stock is overpriced if they want to, but we’re giving it a confident “A” grade after a highly successful Black Friday and Cyber Monday.
There are other reasons to think about owning Amazon stock before the year is over. For many years, Amazon’s primary revenue source has been its e-commerce business. However, the company also has financial interests in cloud computing, grocery delivery, healthcare and, as we’ll discover, a project that’s literally in orbit right now.
AMZN Stock: Flying High, but It’s Justified
If Amazon has proved anything this year, it’s that a winner can keep on winning. Remember, just because a stock has already posted impressive gains, this doesn’t mean it can’t continue to move higher.
In other words, it’s fine to “let your winners run,” as the old saying goes, especially AMZN stock. So far, Amazon has beat Wall Street’s quarterly earnings expectations all year long. This notable earnings performance helps to justify the stock’s powerful momentum.
Amazon has an ongoing tailwind: the strong American consumer. According to a Reuters report, Amazon’s “extended Black Friday and Cyber Monday holiday shopping event,” which started Nov. 17 and lasted through Nov. 27, was the company’s “biggest ever compared to” the comparable period “in previous years.”
U.S. online sales (including, but not limited to, online sales on Amazon) during the five-day period from Thanksgiving through Cyber Monday hit a record $38 billion. That information comes courtesy of Adobe Analytics Amazon via Reuters, and it’s further evidence that Amazon can benefit from Americans’ penchant for online shopping.
Amazon Hires SpaceX to Launch Satellites Into Space
What else has Amazon been up to, besides operating a massively successful e-commerce platform? Evidently, the company is expanding its plans to launch internet-from-space satellites.
The project to develop Amazon’s satellite network is known as Project Kuiper. The company previously struck a deal that involved several satellite launch providers.
Now, Amazon has a contract with Elon Musk’s SpaceX. Reportedly, starting in mid-2025, SpaceX will launch three Falcon 9 rockets on behalf of Amazon.
You might not have to wait until mid-2025 for the next update, however. Per Reuters, Amazon “expects to deploy enough satellites for ‘early customer pilots’ in the second half of 2024.”
It’s amazing to consider that Amazon’s considerable influence goes beyond borders, but also into space as the company strives to conquer yet another future-facing market segment.
Amazon Stock Is a Powerful Momentum Stock to Consider
Amazon marked a highly successful post-Thanksgiving shopping period. Plus, the company is preparing to launch internet satellites in space with SpaceX’s help.
There’s no guarantee that everything Amazon touches will turn to gold. Nevertheless, the company is a consistent income generator and a bold innovator. Hence, even after a powerful rally in 2023, AMZN stock earns an “A” grade and still likely has room to run higher in 2024.
On the date of publication, neither Louis Navellier nor the InvestorPlace Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article.