Amazon stock’s trailing-five-year performance might come as a surprise to most investors.
Many factors support Amazon’s bull case, including revenue growth and artificial intelligence.
Amazon (NASDAQ: AMZN) started out as an online bookseller. But these days, it has evolved into a thriving tech titan with a presence in many industries. The business is massive, sporting a market cap of $2.4 trillion.
The stock's long-term returns are magnificent. But they're not as impressive on a shorter time frame. If you bought $100 worth of Amazon shares five years ago, here's how much you'd have today.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks »
Image source: Amazon.
In the past five years, this stock has generated a return of only 43% (as of Nov. 19). This means that a $100 investment would be worth $143 today.
This gain pales in comparison to the 100% total return of the S&P 500 index. It's worth pointing out, though, that Amazon shares skyrocketed 77% in the 12 months before (from mid-November 2019 to mid-November 2020), as it benefited from a quick recovery following the COVID-19 dip.
Nonetheless, it might be surprising to see the stock underperforming the broader index on a trailing-five-year basis.
Amazon looks to continue its winning ways. Its revenue keeps growing, with net income rising at a much faster clip in the third quarter (ended Sept. 30). It's a leader when it comes to artificial intelligence. And the business possesses numerous durable competitive advantages that support its dominant position.
Investors should consider buying the stock right now.
Before you buy stock in Amazon, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Amazon wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $563,022!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,090,012!*
Now, it’s worth noting Stock Advisor’s total average return is 991% — a market-crushing outperformance compared to 192% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of November 24, 2025
Neil Patel has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon. The Motley Fool has a disclosure policy.