Amazon is generating lots of free-cash-flow, time to get on board - reports

Amazon.com Inc is generating lots of free cash flow, which it often uses to invest in growing its business, making the e-commerce retailer a good investment, weekly newspaper Barron`s said on January 3.

The company`s shares closed Friday at $1,875, which is 69 times its projected earnings this year, but the price is still sensible when compared to Amazon`s free cash flow, according to Barron`s.

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When the company`s financial results for 2019 are released, Wall Street analysts expect Amazon to report revenue increasing by 20% and free cash flow swelling by 28%, the newspaper said.

Amazon is expected to become the largest free cash generator in the United States within five years, according to Barron`s. The US government could crackdown on Amazon and other tech companies but Amazon may have a better defense than others because of its smaller market share in the public cloud, Barron`s said.