Amazon Rumored to Be Opening a Store
According to reports from the blog Good E-Reader, Amazon (NASDAQ:AMZN) is likely to make a foray into retailing with a store opening in Seattle in a few months.
According to the blog, Amazon aims to sell Kindle e-readers and the Kindle Fire Tablet with their accessories. Also likely to find space on the store’s shelves are book titles out of Amazon’s growing publishing business, as Amazon Exclusives. Is this the company’s response to the reported moves by brick-and-mortar chains, such as Barnes & Noble (NYSE:BKS) and Books-a-Million, not to sell Amazon published titles?
Rumors about Amazon’s intentions to enter physical retailing have cropped up periodically from time to time in the past. It is ironic that the online retailing giant may return to a business model that many feared would be rendered extinct by its own huge size and reach.
Here’s how shares of Amazon are reacting to the interesting strategy move:
Amazon.com Inc. (NASDAQ:AMZN): AMZN shares recently traded at $184.54, down $3.14, or 1.67%. They have traded in a 52-week range of $160.59 to $246.71. Volume today was 1,391,667 shares versus a 3-month average volume of 6,305,880 shares. The company’s trailing P/E is 134.53, while trailing earnings are $1.37 per share.
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