Amazon.com, Inc. (AMZN) Covered Calls

Amazon.com, Inc. covered calls Amazon.com, Inc. is a global technology company focused on e-commerce, cloud computing, online advertising, and digital streaming. It operates a massive online marketplace and provides high-scale cloud infrastructure through Amazon Web Services. The company also develops and sells electronic devices like Kindle e-readers and Echo smart speakers, while producing digital content through Prime Video. Amazon is increasingly invested in artificial intelligence and logistics automation.

You can sell covered calls on Amazon.com, Inc. to lower risk and earn monthly income. Born To Sell's covered call screener gives you customized search capabilities across all possible covered calls but here are a couple of examples for AMZN (prices last updated Fri 4:16 PM ET):

Amazon.com, Inc. (AMZN) Stock Quote
Last Change Bid Ask Volume P/E Market Cap
198.79 -0.81 198.80 198.83 61.1M 28 2,143
Covered Calls For Amazon.com, Inc. (AMZN)
Expiration Strike Call Bid Net Debit Return
If Flat
Annualized
Return If Flat
Feb 20 200 2.80 196.03 1.4% 63.9%
Mar 20 200 7.70 191.13 4.0% 40.6%
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Core Business and Products

Amazon is a diversified technology titan with a business model centered on infrastructure scale and customer convenience. Its operations are primarily organized into several high-impact segments:

  1. Online Marketplace and Retail: Amazon is a global leader in e-commerce, serving millions of customers through its first-party sales and third-party seller services. The Prime membership program remains a central pillar, providing recurring revenue and driving customer loyalty via shipping and digital benefits.
  2. Amazon Web Services (AWS): This segment provides a comprehensive suite of cloud computing services, including compute power, database storage, and content delivery. AWS is the company's primary profit driver and a leader in specialized AI hardware and generative AI development.
  3. Advertising Services: Leveraging its massive first-party shopper data, Amazon has built one of the world's largest digital advertising platforms, offering sponsored product placements and video ads.
  4. Subscription Services and Digital Content: This includes Prime Video, Amazon Music, and Audible. The company also produces original content and maintains a strong presence in the gaming industry through Twitch.

Competitive Landscape

Amazon faces significant competition across its various business lines from other global technology and retail leaders:

  1. Retail and E-commerce: Its primary rival in the physical and digital retail space is Walmart. Other major competitors include Target, Costco, and niche marketplaces like eBay. In the luxury and apparel space, it increasingly competes with companies like MercadoLibre in international markets.
  2. Cloud Computing: AWS faces intense pressure for enterprise market share from Microsoft and Alphabet.
  3. Streaming and Devices: In the digital media arena, Amazon competes for viewer attention with Netflix and Disney, while its hardware competes with smart home products from Apple.

Future Outlook

Amazon is currently focused on proprietary independence by developing custom AI silicon, such as Trainium and Inferentia chips, to optimize its cloud infrastructure. The company is also expanding its logistics reach through the Project Kuiper satellite network to provide global broadband. By integrating generative AI shopping assistants and automating its fulfillment centers with advanced robotics, Amazon aims to further reduce operational costs and maintain its dominant position in the global economy.