Amazon Stock: Everything That Happened This Week

This week, Amazon stock climbed a modest 0.6% and is now worth $3,223. The Amazon Maven lists the main topics that helped to move AMZN shares in the past five trading days.
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Amazon stock  (AMZN) - Get Amazon.com, Inc. Report had an eventful week, trading higher by 0.6% and finishing this Friday's session at $3,223 – after rising to nearly $3,300 intraday on Wednesday. The Seattle-based company's shares continue their slow climb towards all-time highs of $3,531. See chart below:

Figure 1: AMZN chart performance on May 28.

Figure 1: AMZN chart performance on May 28.

Check out the main topics discussed during this week.

Is the MGM acquisition a financial burden?

The piece of news of the week for Amazon stock  (AMZN) - Get Amazon.com, Inc. Report investors was the acquisition of MGM Studios. The e-commerce, cloud and media giant has agreed to pay $8.45 billion to own the company and its library of content that includes James Bond and “a treasure trove” of other legacy franchises.

The strategy behind the move seems clear: to better compete in the video streaming space with the likes of Netflix  (NFLX) - Get Netflix, Inc. (NFLX) Report and Disney  (DIS) - Get Walt Disney Company Report, while turning Prime Video into a more appealing lead generator for Amazon’s Prime offering. But does the M&A price tag put pressure on Amazon’s financials?

Figure 2: MGM Studios HQ in Las Vegas, NV.

Figure 2: MGM Studios HQ in Las Vegas, NV.

Read more: Amazon Stock: Is The MGM Acquisition A Financial Burden?

Do not buy AMZN ahead of next month’s Prime Day

While still not confirmed officially (keep checking here for updates), Amazon’s  (AMZN) - Get Amazon.com, Inc. Report Prime Day will likely take place on June 21 and 22. This will be the seventh annual edition of an event that, in only two days, produced nearly 10% of the company’s total holiday quarter revenues in 2020 (ex-Amazon Web Services).

The more relevant question for investors: is Amazon stock a buy ahead of this important date for the e-commerce giant? Or will this prove to be a “sell the news” event? The Amazon Maven dives into the subject, and reaches some unexpected conclusions.

Figure 3: Amazon's Prime Day.

Figure 3: Amazon's Prime Day.

Read more: Do Not Buy Amazon Stock Ahead of Next Month’s Prime Day

Analyzing Jim Cramer’s "company for the ages" view

TheStreet’s and Mad Money’s Jim Cramer seems to be a fan of Amazon stock AMZN. Recently, he called the online retail and cloud behemoth one of the “companies for the ages”, and defended that shares should be bought whenever prices dip.

Figure 4: TheStreet’s and Mad Money’s Jim Cramer.

Figure 4: TheStreet’s and Mad Money’s Jim Cramer.

Read more: AMZN Stock: Analyzing Jim Cramer’s Company For The Ages View

(Disclaimers: this is not investment advice. The author may be long one or more stocks mentioned in this report. Also, the article may contain affiliate links. These partnerships do not influence editorial content. Thanks for supporting The Amazon Maven)