Should you sell Amazon after the stock split?


After months of anticipation Amazon (AMZN 1.99%) eventually split its shares 20-to-1. Many investors are excited about the opportunity to buy more shares of the e-commerce giant at its new, significantly discounted price.

However, experienced investors know that stock splits don’t fundamentally change a company’s value. They simply split a company’s profits into multiple slices. In many ways, Amazon’s 20-to-1 split is like exchanging a $20 bill for 20 $1 bills. The value you hold before and after the split is the same.

Additionally, savvy investors know that Amazon faces a host of serious challenges that threaten to slow its growth and erode its profits. So Instead of Buying, Should You Consider Selling Amazon Stock?

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