From Nasdaq: 2024-11-22 03:00:00

Amazon, with over 300 million users globally, dominates e-commerce. However, some customers opt for cheaper sites like Temu or Shein. To compete, Amazon launches Amazon Haul, offering items under $20, some as low as $1, with longer shipping times. This move could boost Amazon’s growth and appeal to budget-conscious shoppers.

Amazon’s growth has slowed compared to competitors like PDD Holdings, owner of Temu. PDD’s revenue doubled to $25.3 billion in six months. Amazon’s stock, trading at 40x earnings, is up 32% this year. Amazon Haul aims to capture market share from fast-growing competitors like Shein, improving Amazon’s financials and valuation.

Investors may find Amazon more attractive with the launch of Amazon Haul, potentially increasing traffic and sales. The move could make Amazon a better buy, enhancing its competitive edge. However, investors should consider other top stock picks for potentially higher returns, as recommended by the Motley Fool’s Stock Advisor team.



Read more at Nasdaq: Amazon’s Latest Move Puts It Head to Head Against Temu and Shein