Your Shot at a Hidden $100 Billion Business

This post Your Shot at a Hidden $100 Billion Business appeared first on Daily Reckoning.

How’d you like to grab your piece of a brand new, $100 billion business?

Then stick around because today you have the opportunity to do exactly that. And if you jump aboard this high-flyer now, you could be looking at incredible returns before all is said and done.

Got your attention yet?

Good. Because some people out there who are a lot smarter than me believe this cash-cow is stashed away in the basement of one of the world’s biggest tech firms, and they’re getting ready to pull the cover off.

So what the heck am I talking about? Cloud computing…

Cloud computing basically means storing data over the internet instead of a computer hard drive. And it enables companies to access that data just like they access electricity – rather than having to build and maintain expensive computing infrastructures themselves. So they can save a ton of money.

If you don’t think that’s a big deal, you’re dead wrong. Cloud computing has been around for years—and everyone knows about it. But what you don’t know is that Amazon’s cloud computing division is about to mint this famous E-tailer’s next fortune…

“The massive cloud computing division within Amazon is delivering serious financial results for the tech giant,” explains Tech Insidr. “Unlike Amazon’s core E-Commerce business, which operates on razor thin margins (i.e. 1.6%), Amazon Web Services (AWS) is a high margin business. Some analysts project that AWS margins are within the 25% range.”

The Rise of Amazon's Cloud Business

“Historically, Amazon has operated at a loss, as their low margin E-Commerce business and costly Cap-Ex investments wiped out any chance of generating profit,” Tech Insidr continues. “The swing to profitability led by AWS is beginning to change that narrative rather quickly.”

For years, analysts and investors have been shocked by Amazon’s amazing ability to spend every cent it makes. But now, it looks like the company’s business is about to experience a major shift.

With profit margins potentially going to 25% instead of 1.6%, could Amazon become the new cash cow of Wall Street, busting with cash like Apple?

Perhaps… and all because of its relatively new and popular cloud computing business. Who saw that coming?

And it doesn’t hurt that Amazon’s chart is red-hot right now…

Primed for Profits

Here’s a hot tip for you: Don’t bet against a stock that has nearly doubled while the S&P 500 is barely at breakeven.

Amazon isn’t messing around. It’s already knocked Walmart off its throne when shares rocketed higher earlier this year on upbeat earnings. Amazon’s market-cap jumped above Walmart’s for the first time ever in July. And judging by the impact we’re seeing from AWS, this might just be the very beginning of Amazon’s dominance.

There’s a fortune out there in the cloud. Grab it.


Greg Guenthner
for The Daily Reckoning

P.S If you want to cash in on the biggest profits this market has to offer, sign up for my Rude Awakening e-letter, right here. Stop missing out. Click here now to sign up for FREE.

The post Your Shot at a Hidden $100 Billion Business appeared first on Daily Reckoning.