If You Had Invested $1,000 in Amazon Stocks 10 Years Ago, How Much Money Would You Have Today?

Investing in Amazon Stock: A Decade of Growth

Investing in Amazon stocks 10 years ago and holding them in your portfolio until today would have generated a significant profit.
How much money would you have if you had invested $1,000 in the retail giant in 2014?

According to experts, it would be a substantial amount.
Despite the recent stock market fluctuations, a long-term analysis showcases the remarkable growth and value appreciation of the company.

The improvements in earnings and the excitement surrounding Artificial Intelligence have propelled Amazon stocks to an 81% gain last year, following a nearly 50% loss in 2022.
By the end of June, the retail giant surged to a three-year high.
However, a selloff that affected the Magnificent 7 last month led to a drop in Amazon stocks.
Furthermore, its second-quarter report pushed the stocks to unprecedented levels since the beginning of the year.

Behind the recent stock market rollercoaster lies a tale of growth and success.
Here’s how much you would have earned by investing $1,000 in Amazon stocks a decade ago.

The company’s activities have expanded rapidly over the years and now include the renowned Amazon Prime subscription service, electronic devices, and Amazon Web Services (AWS).

Since its initial public offering (IPO) back in 1997, when its sales were around $148 million annually, Amazon has come a long way.
The figure grew to nearly $575 billion last year.

The stocks have also generated significant wealth for investors.
Those who purchased stocks a decade ago and held onto them would have seen an increase of nearly 1,000%.

In the past ten years, Amazon stocks have surged by 945%, easily outperforming the S&P 500’s total return of 227%.

Even starting with a relatively small investment of $1,000 just ten years ago, you would now have around $10,500.
Investing the same amount in the S&P 500 would have yielded approximately $3,300.

While Amazon stocks may face challenges in replicating such returns in the next decade, analyst Lawrence Rothman believes they are still worth buying.
Amazon stocks have a price-to-earnings (P/E) ratio of 39, much higher than the S&P 500’s multiple of 27, indicating high market expectations for the company’s growth.

Disclaimer

The information and considerations contained in this article should not be used as the sole or primary basis for making investment decisions.
The reader retains full freedom in their investment choices and full responsibility for carrying them out, as only they know their risk tolerance and time horizon.
The information in the article is provided for informational purposes only, and its disclosure does not constitute an offer or solicitation to the public for savings.