Amazon’s Investors Keep Faith in Bezos
Is Amazon’s (NASDAQ:AMZN) stock price a dazzling mirage sustained by investors’ faith in CEO Jeff Bezos? Amazon has seen its stock go up 120 percent in two years despite the company’s inability to generate consistent profits. In its most recent quarter, Amazon lost $41 million, or $0.09 per share.
Amazon’s stock price appears to be partly buoyed by investors’ unshakeable faith in Bezos’s vision. The company’s founder has a knack for attracting positive media attention for himself and his company, noted the Wall Street Journal’s Holman W. Jenkins, Jr. For example, Bezos got favorable coverage earlier this year for purchasing the Washington Post with $250 million of his own money. Bezos was also named the biggest industry disrupter by Vanity Fair magazine this year, and The New York Times once called him “the natural heir of Steve Jobs as the entrepreneur with the most effect on the way people live now.”
More recently, Bezos stunned journalist Charlie Rose when he revealed a secretly developed “delivery-by-drone” service called Amazon “Prime Air” on CBS’s “60 Minutes.” As seen in the video below, the drones, or “octocopters,” deliver packages to customers doors in as little as 30 minutes after they place their orders online.