Just a random thought I had… Amazon was previously seen as a Covid stock since they had huge increases in revenue due to online shopping. The stock almost doubled after March 2020 due to higher expectations for e-commerce.
However, Amazon hasn't really managed to turn that extra revenue into profit. Quite the opposite. They've continuously had worse and worse cash flows as they had to invest a lot of money in fulfillment. Now e-commerce is slowing down and they have all these extra resources/workers that have to work their way through the Amazon system. It seems like maybe profitability is going to be even more unpredictable in their retail section. So compared to pre-covid, their retail operations seem a bit less predictable and profitable.
Plus, this is anecdotal, but I feel like I've been hearing more and more complaints about Amazon. Delivery times were really long during Covid, and there are more and more advertisements and knockoff goods pushed to the top of the page. Seems like people are a bit cautious and now like to go straight to the manufacturer's website sometimes. Just an observation though.
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