Amazon is predicted to finish 2025 with the largest market cap, surpassing Nvidia and others.

From Nasdaq: 2025-01-13 20:07:00

In 2024, Nvidia briefly became the world’s largest company by market capitalization due to high demand for AI. Despite this, with a high P/E ratio, it may not be the best bet for 2025. Amazon, on the other hand, could finish 2025 as the stock with the largest market cap, driven by AWS and retail growth.

Amazon’s profit driver, AWS, has seen accelerated revenue growth, reaching over $100 billion annually. With a 35% profit margin, AWS could generate $45.5 billion in operating income in 2025. Additionally, Amazon’s North American retail segment is experiencing margin expansion, expected to reach 10% by the end of 2025.

If Amazon achieves its financial targets in 2025, its operating earnings could hit $100 billion, leading to a market cap close to $4 trillion. This would surpass current leaders like Nvidia, Apple, and Microsoft. With potential for further growth, Amazon could reclaim the top spot in market cap.

Consider investing in Amazon for potential growth in 2025, as it aims to increase its market cap. The Motley Fool’s Stock Advisor service offers guidance on stock picks for substantial returns. Past recommendations, like Nvidia, have seen significant growth. Amazon has the potential to outperform with its various revenue streams and growth prospects.



Read more at Nasdaq: Prediction: This Hypergrowth AI Stock Will Finish 2025 With the Largest Market Cap in the World (Hint: It’s Not Nvidia)