"Warren Buffett gets a lot of attention due to his remarkable track record running Berkshire Hathaway over the past several decades. There is no shortage of investors who try to emulate his style of value investing, a strategy that has worked extremely well. However, that's not the only way investors can allocate capital. Buying companies that are growing revenues and/or earnings quickly can also work out very well. What's more, many people might find this philosophy to be more interesting."
"The Amazon empire began as an online marketplace that only sold books. Today, it sells virtually everything under the Sun. Shoppers can even buy cars on the website. Perhaps amazon.com, which had a whopping 2.7 billion visitors in August, could become a major player in residential real estate in the future. In the U.S., less than 20% of the retail sector is represented by online shopping, which provides a big runway for growth. As the leader in the industry, Amazon will benefit."
Value investing exemplified by Warren Buffett has produced strong returns, but growth investing offers another path by buying companies with rapidly expanding revenues or earnings. Amazon exemplifies durable growth despite slower expansion than its early hypergrowth years. The company operates across multiple high-potential industries, maintaining leadership in e-commerce while attracting massive traffic (2.7 billion visitors in August). U.S. online retail still represents under 20% of the total retail sector, leaving substantial room for market share gains. Amazon Web Services (AWS) serves as a major high-margin growth engine, complementing retail operations and supporting long-term growth prospects.
Read at The Motley Fool
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