1 Reason Why I'd Never Buy Amazon Stock for $1,100

1 Reason Why I'd Never Buy Amazon Stock for $1,100

Late last month, Amazon.com (NASDAQ: AMZN) released a stellar third-quarter earnings report. Sales skyrocketed 34% year over year to $43.7 billion. (The increase would have been 29% excluding Amazon's acquisition of Whole Foods and exchange rate changes.) Earnings per share also came in way ahead of analysts' estimates.

Amazon stock surged following the earnings report, and it has been trading for around $1,100 ever since. This gives the company an astounding market capitalization of roughly $550 billion. Unfortunately, it will be extremely difficult for Amazon to live up to that valuation without running afoul of antitrust regulators in the not-so-distant future.

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Source: Fool.com