In this article, we’ll cover how to buy Amazon stock on a commission-free basis with a regulated online trading platform.
In This Guide
With Amazon making up one of the four popular FANG stocks in the Nasdaq stock market and boasting a market capitalization of $1.88 trillion, it is common practice for online trading platforms to give their clients exposure to Amazon stocks.
In this section, we’ll review online stock trading platforms, paying close attention to key metrics such as fees and regulations.
eToro is a social trading platform that offers access to many financial markets and tradable assets. Since its launch in 2006, eToro has become home to more than 20 million traders worldwide. This online broker has competitive trading and non-trading fees, with free stock and ETF trading, and no account or deposit fees.
eToro’s enables you to buy hundreds of stocks, including Amazon, in the traditional way as well as stock CFDs. By trading CFD derivatives you can trade on a speculative basis, as well as use leverage of up to 5:1. Traders who hold a CFD stock position, do not take ownership of the underlying asset or obtain shareholder rights.
Being a social trading platform means that you can communicate and interact with the rest of the trading community on the eToro platform, in a similar fashion to popular social media networks, only in an online trading environment.
Buy Amazon Stock
Sponsored ad. Your capital is at risk.
eToro also facilitates copy trading features such as CopyTrader and CopyPortfolios. This means that you can browse through the public profiles of hundreds of eToro experienced investors and copy the trades of your favorite based on metrics such as past performance and risk ratings. Furthermore, you can also invest in themes or a portfolio of investors with the click of a button.
The minimum deposit for US-based investors is just $50, and there are no deposit or account fees. All in all, eToro traders can buy Amazon stock for as little as $50, $250 worth of Amazon shares, or more or less, which is suitable for beginners as Amazon stocks are priced at more than $3,700 per share. This is possible because eToro supports fractional share trading, which means that you can invest as little as $50 to buy a portion of the whole expensive stock.
When it comes to client fund protections and regulations, eToro is regulated and authorised by several financial authorities including the UK’s Financial Conduct Authority (FCA), the Cyprus Securities and Exchange Commission(CySEC), and the Australian Securities and Investments Commission (ASIC).
Additionally, depending on your country of residence, you are covered by the ruling regulator’s investor protection schemes and negative balance protection.
Amazon stocks rallied to record levels this month despite CEO Jeff Bezos relinquishing the reins to Andy Jassy. AMZN stock jumped to all-time highs earlier this week reaching the 5% mark at $3,675.74 per share.
The reasons for Amazon stock rallying in early July are twofold:
Established by Jeff Bezos in 1994, Amazon.com, Inc. started as an e-commerce bookstore. Consequently, in 1997, Amazon stocks were offered to the public via its IPO (initial public offering).
Since being listed on the NASDAQ exchange under the ticker AMZN, Amazon has continued on an upward trajectory, which boasts one of the largest market caps in the major US exchange.
During its IPO, Amazon stocks were priced at just $18, whereas at the time of writing in July 2021, Amazon stocks are priced at $3,719.34. In other words, this is a stock price increase of 20,563%. If we compare the current AMZN stock price to the same time last year we find that there has been a 28.3% increase.
Let’s take a look at Amazon stock’s historical data for July 2021 in the following table:
According to CNN Business, the Amazon stock price forecast for the next 12 months indicates an upward trajectory with over 40 financial analysts forecasting a median target of $4,224.95, a high estimate of $5,500.00, and a low estimate of £3,775.00. The average forecast of $4,224.95 suggests a potential 13.59% increase from its previous price.
Amazon does not pay dividends.
Amazon’s main focus seems to be reinvesting its net earnings into expanding its business, which during the peak of the Covid-19 pandemic saw an increase in sales and engagement. Partly due to social distancing and global lockdowns, consumers opted for online shopping as opposed to traditional brick-and-mortar shopping.
During the last three years or so, Amazon has spent just under $60 billion on property, employing more staff, and other projects.
Amazon is continuing to grow at an unprecedented rate with an all-time high stock closing price of $3,719.34 recorded on July 8th, 2021. Market analysts and financial research companies expect Amazon’s successful and impressive market performance to continue.
You can buy Amazon stock through a broker by opening a live trading account and depositing funds. Then all you need to do is search for Amazon in the search bar and click on trade. Then select the amount you wish to trade and place an order type and click on Open Trade.
After a 30-day free trial, Amazon Prime is just $7.99 per month. The following are included with an Amazon Prime membership: convenient, free premium delivery, exclusive access to Lightning Deals and promotions, access to an expanding lineup of Amazon Originals, and heaps of trending movies and TV programs - all at no added cost and accessible from any device, stream more than 2 million songs on demand with Prime Music.
Amazon was established in 1994 by Jeff Bezos. He has since helped the e-commerce company grow to new heights with a market cap of $1.88 trillion. Jeff Bezos stood down as the Chief Executive Officer on July 5th, 2021.
After reaching an all-time high stock closing price of $3,731.41 on July 8th, 2021, at the time of writing Amazon stock is priced at $3,719.34 (NASDAQ: AMZN).
Will the e-commerce and cloud-computing firm Amazon declare a stock split in the foreseeable future? It could happen considering that Amazon stock is trading at more than $3,000 per share. Since its launch in 1997, Amazon has split its stock on three occasions: 2-for-1 (June 98), 3-for-1 (January 99), and 2-for-1 (September 99).
Dassos Troullides is an experienced finance writer who specializes in CFD, stock, and crypto trading. He uses his experience and time spent in the forex industry to simplify complex financial topics for easy, informative reading. Dassos also writes for BuyShares.com, InsideBitcoins.com, LearnBonds.com, ForexCrunch.com, and EconomyWatch.com
Best UK Stock, Forex, CFD, Crypto, Social or Day Trading Platform that meets your needs.
