Ghost of Igloi wrote:
I get the modern metric argument of free cash flow, however it has always been used to rate-up overvalued companies. The bigger argument in my view is should a company that sells their product at cost be given a pass, and allowed to drive other enterprises to failure. I think not. Society is not always benefitted by the lowest cost anymore than gouging. I see Bezos and Musk as modern day Rockefeller and Ford. More ruthless than innovative.
Amazon sells products at cost? Sources?
I understand they sell at very thin margins but the profits it makes are notoriously invested back into the company, establishing it as the aggressive growth company it has come to be.
It also allows a very low barrier to entry for small businesses to get enormous internet exposure and a chance to tap into the most sophisticated distribution and delivery system in the world. Amazon can even house their products in their own (Amazon's) warehouses, thereby increasing the viability of small start-ups and businesses.
How's that for value added?