Bill Miller Continues To Invest in Amazon!

  Bill Miller Continues To Invest in Amazon! World-renowned value investor Bill Miller continues To Invest in The Company, stating that he sees a great opportunity at Amazon. Investors thought that as the economy started to reopen, the shares of e-commerce giant Amazon.com (NASDAQ: AMZN) would decline. While many investors see Amazon as the winner of the pandemic; Despite record earnings results in April, the company's stocks remained well below the levels set about 10 months ago last August. That's why investors are very cautious about Amazon's potential performance. Still, Bill Miller, one of the world's most famous value investors, has not only reloaded the long-term Amazon bet but also strengthened it with call options. Let's get to know the fearless investor Bill Miller a little closer. Legendary value investor Bill Miller, with the best investment history of all time, is also interested in disruptive technology and high-growth compounds. Miller had slightly lowered Amazon shares, which made up 3,9 % of the Miller Value Partners portfolio in the fourth quarter of 2020. Afterwards, 5,11 % bought Amazon search options.

World-renowned value investor Bill Miller continues To Invest in The Company, stating that he sees a great opportunity at Amazon.

This means that Miller has given Amazon the biggest allocation in its portfolio. The search option gives the owner the right to buy 100 shares at a specified price at a specified time. If the stock is below the strike price until maturity, the option expires without value. But if the stock increases too much, much more profit can be made for the amount of capital used. Therefore, buying a call option is similar to betting with leverage on a stock. Miller made a very strong bet on Amazon at a time when Wall Street was falling out of favor. Why is Miller going so high as the economy reopens? Miller recently told Barron magazine his position in Amazon, among other holdings. According to Miller, Amazon Web Services and its digital advertising business, two of Amazon's top margin companies, could potentially be responsible for nearly all of the holding's value within a few years. In addition, Miller thinks there is a huge opportunity in Amazon's relatively new business-to-business platform and the logistics platform that it will open to third parties after the epidemic.  

Source: The Motley Fool

 

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