1 Brilliant Growth Stock To Buy Before It Joins Nvidia In…

By Danny Vena, CPA – Apr 6, 2026 at 6:02PM EST

Key Points

Amazon has a trifecta of strong businesses that work together to fuel its growth.
Investors continue to underestimate this tech titan, which is spending heavily to drive future growth.
Wall Street is predicting modest growth, but even that will be enough to propel Amazon into rarified company.

A rare hat trick

Soccer fans will no doubt be familiar with the term hat trick, which is when a player scores three goals in a single game. wise, Amazon has scored three successful major business units that are among the strongest in their respective industries. Furthermore, these complementary businesses tend to fuel each other’s growth, providing the company with a solid foundation for the future.

The foundation of Amazon’s business empire is the company’s e-commerce segment. Its expansive product offerings, extensive system of warehouses and fulfillment centers, and its vast delivery network give the company an unparalleled competitive advantage. This helped Amazon become the world’s largest online seller, then the world’s largest retailer — recently surpassing Walmart. Furthermore, Amazon Prime encourages users to buy more to get the most from their annual membership.

Let’s not forget Amazon Web Services (AWS), the company’s cloud computing segment, which provides businesses with on-demand computing power, content delivery, and data storage. Amazon pioneered the cloud infrastructure business, and it remains the industry leader.

Finally, there’s Amazon’s fast-growing advertising business. Growth is being driven by online product search, Prime Video, live sports programming, and the company’s recent addition of ads to Prime Video.

Amazon Stock Quote

NASDAQ: AMZN

Amazon

Today’s Change

(1.43%) $3.00

Current Price

$212.77

Key Data Points

Market Cap

$2.3T

Day’s Range

$209.61 – $212.94

52wk Range

$161.38 – $258.60

Volume

998K

Avg Vol

51M

Gross Margin

50.29%

The numbers speak for themselves

In the fourth quarter, Amazon’s revenue grew 14% year over year, an impressive growth rate for a company of its size. Each of its largest business segments contributed to the growth. E-commerce revenue grew 12%, while AWS grew 24% — its fastest rate of growth in 13 quarters. Digital advertising also had a strong showing, up 23%.

Investors clearly have AI fatigue, but it’s important to remember that Amazon has been successfully deploying these algorithms for years to support its growth — long before AI went viral. The company’s product recommendations, inventory forecasting, and delivery routing are just a few of the ways Amazon uses AI to boost its revenue and improve efficiency.

Amazon announced plans to spend $200 billion on capex over the coming year, citing strong demand for AWS. Some investors headed for the exits, but that could be a costly mistake, as Amazon is “monetizing capacity as fast as we can install it.” Put another way, the company is building out AWS cloud capacity for demand that’s already there, so it’s clearly the right move.

The path to $4 trillion

Amazon has a market cap of roughly $2.3 trillion (as of this writing), so it will need to grow its stock price by about 76% to reach $4 trillion. The company is expected to generate revenue of $808 billion in 2026, according to Wall Street, giving it a forward price-to-sales (P/S) ratio of less than 3. Assuming its P/S remains constant, Amazon would need revenue of roughly $1 trillion annually to support a $4 trillion market cap.

Data by YCharts

Not surprisingly, Wall Street currently expects Amazon to generate revenue of more than $1 trillion in 2028. If that forecast is accurate, Amazon could surpass a $4 trillion market cap in early 2029, if not sooner. That said, Amazon’s long track record of success and the consistency with which it defies Wall Street’s projections suggest it could reach that benchmark sooner.

Finally, at roughly 29 times earnings, Amazon stock is near its lowest valuation in nearly five years. This gives savvy investors the opportunity to pick up s of an industry leader and a triple threat at a discounted price.

That’s why Amazon stock is a buy.