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The Contradictions of an Amazon Upgrade

The love affair with the online retailer continues, although Cramer's not sure why.

You gotta love the love affair the Street has with Amazon (AMZN) - Get, Inc. Report. This morning, Bank of America upgrades the son of a gun. There is always one guy out there who can save this stock. There is always one guy who can keep the balls in the air.

Yesterday in our morning meeting, we joked about what new initiative Amazon will come up with today. How about lawn care? Maybe blood supplies? Dog walkers? Space launches? Gasoline? Funerals?

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Message Boards. And with the upgrade of Amazon will be one more rally in the dot-coms nobody wants, as the shorts panic and buy some in and the longs make an attempt to get Humpty Dumpty back together again.

I admit to having total contempt for Amazon at this point. The stock has disappointed so many times that it has given all dot-coms a bad name.

Yet it continues to be loved by all who write on it.

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When Amazon reported layoffs the other day, I half-expected it to put out a release talking about how the layoffs were positive and a sign that business had gotten more robust of late. "We laid some people off because business is booming," Bezos said in a release. "In the bricks-and-mortar world, layoffs are often a sign of weaker business. But in the dot-com world, layoffs are a sign of strength and an explosion in revenues."

Next thing we know, it will be really cool when Amazon runs out of money because, after all, when a bricks-and-mortar company runs out of money, it goes bankrupt, but when a dot-com runs out of money, it is a sign of triumph and a tremendous buying opportunity.

Get me


. Maybe he could explain this better.

James J. Cramer is manager of a hedge fund and co-founder of At time of publication, his fund was long Bank of America. His fund often buys and sells securities that are the subject of his columns, both before and after the columns are published, and the positions that his fund takes may change at any time. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Cramer's writings provide insights into the dynamics of money management and are not a solicitation for transactions. While he cannot provide investment advice or recommendations, he invites you to comment on his column at