Buffett Sells Amazon, Invests in New York Times
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 day ago
0mins
Should l Buy AMZN?
Source: Fool
- Amazon Share Shift: Berkshire Hathaway sold over 7 million shares of Amazon, valued at approximately $1.8 billion, shortly before Buffett stepped down as CEO, indicating a cautious stance towards tech stocks while paving the way for portfolio diversification.
- New Investment Choice: Berkshire opened a new position in The New York Times Company, acquiring over 5 million shares at an average price of $61.09, with current trading around $78, showcasing potential returns and Buffett's confidence in digital media.
- Digital Subscription Growth: The New York Times reported 12.21 million digital subscribers in its latest quarter, an increase of 450,000, with digital subscriptions accounting for 47.5% of total quarterly revenue, reflecting successful transformation towards digitalization.
- Ad Revenue Surge: Digital ad revenue increased by 24.9% year-over-year to $147.2 million, further driving overall revenue growth, indicating strong performance and future growth potential in the digital media sector.
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Analyst Views on AMZN
Wall Street analysts forecast AMZN stock price to rise
44 Analyst Rating
41 Buy
3 Hold
0 Sell
Strong Buy
Current: 250.560
Low
175.00
Averages
280.01
High
325.00
Current: 250.560
Low
175.00
Averages
280.01
High
325.00
About AMZN
Amazon.com, Inc. provides a range of products and services to customers. The products offered through its stores include merchandise and content it has purchased for resale and products offered by third-party sellers. The Company’s segments include North America, International and Amazon Web Services (AWS). It serves consumers through its online and physical stores and focuses on selection, price, and convenience. Customers access its offerings through its websites, mobile apps, Alexa, devices, streaming, and physically visiting its stores. It also manufactures and sells electronic devices, including Kindle, Fire tablet, Fire TV, Echo, Ring, Blink, and eero, and develops and produces media content. It serves developers and enterprises of all sizes, including start-ups, government agencies, and academic institutions, through AWS, which offers a set of on-demand technology services, including compute, storage, database, analytics, and machine learning, and other services.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Significant Revenue Growth: AWS achieved a 24% revenue growth in Q4, marking its best performance in over three years, indicating strong market demand and the likelihood of continued profit increases for Amazon.
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- Core Holdings Strategy: In his annual letter, Abel emphasized a focus on core holdings such as Apple, American Express, Coca-Cola, and Moody's, which are expected to compound value over decades, reflecting a long-term investment strategy.
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See More
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See More
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- Market Rebound and Concentration Risk: Despite significant volatility in U.S. tech stocks during Q1, the Nasdaq has surged nearly 20% in the past three weeks; however, with less than 10% of S&P 500 stocks hitting 52-week highs, this highlights a concerning concentration risk in the market.
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