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by admax88q 3019 days ago
Yes because at the end of the day an share of AMZ means you own a small percentage of that company. That includes a small percentage of all their physical assets, servers, real estate, cash on hand etc.

So yeah there is some intrinsic value.
2 comments
shitgoose 3019 days ago
can you go to amazon headquarters and exchange an AMZ share for an office chair? as a physical asset? i have a feeling that security will escort you from the building before you finish the transaction. the only intrinsic value will be the bruises on your wrists.

edit: the value of the share (in the old good days) is the discounted cash flow. you invest in a business, then business pays you the share of the profits (hence - share) in the form of dividends. AMZ share does NOT pay any dividends, nor does grant you any voting rights. nothing. zero. this is your intrinsic value.

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shkkmo 3019 days ago
> can you go to amazon headquarters and exchange an AMZ share for an office chair?

If the total value of share prices drops below the value of the assets, you can buy all the shares, take the company private and sell off all the assets to make money.

Assets (vs liabilities) thus can put a floor on the value of a stock price.

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shitgoose 3019 days ago
i have AMZ shares. and i am still waiting when amazon business goes down the drain so i can take amazon private and sell off its assets and make profit. one helluva business plan and intrinsic value.
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smt88 3019 days ago
Just because something is illiquid or can't be returned doesn't mean it has no value.
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shitgoose 3018 days ago
AMZ is very liquid:)

it is amazing that no one seems to be able to answer simple question - what financial benefit do i get from ownership of an AMZ share? other that selling it to a bigger fool.

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CryptoPunk 3019 days ago
Exactly. Cryptocurrency valuations at the moment are 99% speculation about future utility. Actually it may be 99.9%.
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mulmen 3019 days ago
Pet peeve: made up numbers. Why not just use an adverb?

Yes, I spend a lot of time annoyed.

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CryptoPunk 3019 days ago
Yes I should have said "on the order of 99%". I think generally figures like "99%", when used in this context, imply that this is an approximate value, but I agree that it's better to explicitly state that.
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