Amazon's quickly expanding bottom line, especially when compared to Apple's more muted growth, helps justify paying what is a slightly premium valuation. Looking out over the next five years, I believe Amazon has a chance to produce a higher return than Apple, making it a better stock to buy.
Amazon Stocks Price Target for 2030
We estimate Amazon's stock price to be $370 per share with 10% year-over-year revenue growth but compressed margins from more competition in its AWS unit.
Those gains translate to a 25.8% compound annual growth rate for Amazon compared to an 8.2% CAGR for the S&P 500 in that time. As a result, $10,000 in AMZN stock purchased 20 years ago would now be worth $983,555. A $10,000 investment in the S&P 500 over the same period, however, would amount to $48,675.
On the earnings side, earnings per share (EPS) are expected to rise 20% in 2025, although projections indicate a 77% gain for 2024. That said, 20% earnings growth is still impressive and is reason enough to own the stock, as long as it can be purchased at a fair price.
The Future of Amazon
Forecasters predict that Amazon will reach $200 per share a year from now and will continue to rise to $250 per share at the end of 2026. In 2027, the prediction is for a price of $300, and $250 by the end of 2028.
Tesla Stock Price Predictions for 2030
End-of-Year 2030: Most Bullish Projection: 1259 (CoinPriceForecast) Most Bearish Projection: 348.87 (Gov Capital)
Amazon's growth
A $1,000 investment at the closing price on the day of the IPO and not sold would be worth roughly $1.87 million today. The stock made its debut on May 15, 1997, at a pre-split closing price of $23.50 per share ($0.098 per share split-adjusted).
Then, the company held off on stock splits for quite some time, choosing to let shares appreciate in step with Amazon's growth. However, once its price moved and stayed well above $3,000 beginning in late 2020, the company couldn't hold out any longer.
Amazon shies off high after hitting $2,000 per share for the first time. It's a major milestone in the stock's climb to match Apple's $1 trillion market valuation.
Apple long term stock forecast is anticipated to be $315 in 2025, $370 in 2026, $425 in 2027, $465 in 2028, and $480 in 2029. In 2030, analysts anticipate Apple shares will be worth $510.
Global warming accelerates destruction of the Amazon. Deforestation and climate change could damage or destroy as much as 60 percent of the Amazon rainforest by 2030, according to a new report from environmental group WWF.
If you'd only bought one share, you wouldn't be able to retire just yet. But investors don't usually buy just one share. If you'd invested $100 on the first day of trading, you'd have shares worth more than $200,000 today, which also probably isn't enough to retire on, but is a nice chunk of change.
What percentage of Amazon (AMZN) stock is held by retail investors? According to the latest TipRanks data, approximately 53.80% of Amazon (AMZN) stock is held by retail investors. Who owns the most shares of Amazon (AMZN)? BEZOS JEFFREY P owns the most shares of Amazon (AMZN).
Amazon (AMZN) stock had to shake off a summer slump but managed to rally 45% in 2024. But the stock is down slightly early in 2025 and coming up against a test of a key level as a broader rally for stocks has slowed.
If you'd bought $10,000 worth of Amazon stock 10 years ago, today your investment would be worth more than $114,690. With that, Amazon proves it's made a great long-term holding.
(NASDAQ:AMZN) stands against the other best long-term stocks. To select stocks with long-term growth potential, investors should focus on fundamental analysis, evaluating financial health through earnings history, revenue growth, and profit margins.
If you had invested $1,000 in Apple stock on Jan. 24, 1984, today, you would have $1,593,809. Likewise, if you had invested $1,000 in an index fund replicating Nasdaq, you would have $55,090. A similar $1,000 investment in an index fund that replicates the S&P 500 would be worth $29,230.
Here's your answer: If you'd invested $1,000 in shares of Tesla at the beginning of 2015, you'd have a stake worth $27,615 a decade later. That's an average annual gain of around 39%, more than triple the S&P 500's average annual gain of 12%.
SpaceX will be worth about $500 billion by 2030
SpaceX's current value of around $150 billion makes it one of the most valuable private companies in the world. When the stars of Kosovo take the wheel and discover the Renault Rafale!
Investors should temper expectations
Wall Street consensus analyst estimates point to revenue and earnings per share increasing at compound annual rates of 7% and 10.6%, respectively, between fiscal 2024 and fiscal 2027. These are healthy growth rates, to be fair.
For Amazon, the company still has many new avenues for future expansion in mind, including (but not limited to) media content, grocery stores, and health care. Growth is still very much the top priority for Amazon. As a result, investors should not expect a dividend payment any time soon.
The all-time high Amazon stock closing price was 232.93 on December 16, 2024.