James Siminoff

Amazon is a incredible business, but…

Maybe I am just more sensitive to stock prices now that I am working at a public company.  Amazon’s stock is shooting up over the last few days, the chart looks like the 1999-2000 days.  Just look at the price/earnings that Amazon is selling at compared to some other incredible companies:

Amazon- 72

Apple- 32

Google- 36

Microsoft- 18

What the above means is that for every dollar makes, Amazon is worth $72 in market capitalization, where as for every dollar that Microsoft makes the company is worth $18.  Now I understand why people think Amazon has a brighter future ahead, including the fact that it is smaller so has room to grow but is it 4 times brighter then Microsoft and twice as good as Google?

Seems to be a little crazy but at the same time we run our entire business on their computing cloud so selfishly I hope that they only do better.