Why Amazon Stock Sorely Lagged the Broader Market in 2021
For investors in many of the companies that posted outsized growth during the pandemic's first year, 2021 was somewhat of a letdown. For example, e-commerce giant Amazon (NASDAQ: AMZN) delivered a mere 2% gain in 2021, according to data provided by S&P Global Market Intelligence. That was way below the S&P 500's 27% gain, itself a much better than average result for the index. The tepidness of Amazon's share price performance was due to the company's sagging growth and lukewarm guidance.
Amazon's revenues positively exploded during the pandemic's first year as Americans dramatically shifted their shopping online. The e-commerce leader was destined to lose some of its tailwind once more physical stores reopened and shoppers felt more comfortable about returning to them -- and that's what happened. And, of course, after its banner 2020, Amazon faced tough year-over-year comps in 2021.
Source Fool.com
