Indra Bhattacharjee's Avatar
published in Blogs
Mar 15, 2019

Amazon (AMZN, $1,714.83) focuses on physical stores to beat competition

E-commerce giant Amazon is now planning to open more physical grocery stores, a sector currently dominated by the likes of Walmart (WMT).

According to the Wall Street Journal, with the acquisition of Whole Foods Amazon got its first real taste of store-based grocery sales, but Amazon’s grocery models will be starkly different from that of Whole Foods. 

But this move comes with its own set of challenges. Amazon can't evade the costs associated with getting groceries to consumers. Even though the company could remove expenses associated with established physical stores, it’s already a notoriously low-margin business, and Amazon Web Services is the primary source for the company's profits.

Additionally, recent figures suggest that Amazon’s online grocery sales are not remarkably higher than those of Walmart’s physical grocery sales – 12.5% to 11.1% in 2017.

Going ahead with its plans, Amazon will now have to open dozens of relatively smaller brick-and-mortar locations across the country. The first such store is expected to appear in Los Angeles, possibly as soon as the end of this year, and more to follow in 2020. Few other steps include opening 3,000 Amazon Go stores by 2022, closing all 87 in-store pop up locations inside retailer like Kohl’s (KSS), and opening traditional grocery stores by acquiring smaller, local chains among others.

Among these, a more traditional grocery store is probably the best idea as it gives opportunities for Amazon to serve more customers, who'll be further immersed in its Prime loyalty ecosystem. In addition, the vast customer data is has acquired over the years, the physical sales are likely to bear fruits.

Related Tickers: AMZN
John Jacques's Avatar
published in Blogs
May 16, 2022
A.I. Stock Market Predictions: Head & Shoulders

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Statistics for the Head-and-Shoulders Bottom Pattern The days where only hedge funds used algorithms to trade stocks are officially over. Now retail investors can use Artificial Intelligence (A.I.  Here’s an example of the algorithm in action: Late last year, Tickeron’s A.I.
Edward Flores's Avatar
published in Blogs
Apr 29, 2022
How to Become the Millionaire Next Door

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Sergey Savastiouk's Avatar
published in Blogs
May 16, 2022
When Is the Next Recession Coming?

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Sergey Savastiouk's Avatar
published in Blogs
Mar 14, 2023
How to Start Trading Penny Stocks

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Penny stocks have long been marginalized within the professional investment community, oftentimes being painted with a broad brush of simply being “too risky.” Leonardo DiCaprio’s depiction of the penny stock peddling conman, Jordan Belfort, in the Wolf of Wall Street certainly didn’t help.Here are four reasons to start trading them now. Reason #1: Let’s State the Obvious -- Penny Stocks are Cheap A single share of Apple Inc. costs over $350.
Dmitry Perepelkin's Avatar
published in Blogs
Mar 14, 2023
5 Habits that Lead to Successful Investing

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To consistently make money in this industry, you need emotional fortitude, an analytical mind, and a willingness to self-reflect. Despite trading and investing being two different activities, these principles can be applied to both.Conversely, investors with good habits often become great traders.  Rather than full sentences for titles, we’ve labeled each of our top-five investing habits using a single word principle.
Allana's Avatar
published in Blogs
Mar 23, 2023
What’s the Difference Between Data Analytics and Machine Learning?

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Artificial intelligence (AI) technology is developing rapidly.Data mining can deliver raw numbers, but it does not necessarily provide actionable insights. Structure is necessary to taking abstract information and extracting commonalities, like averages, ratios, and percentages.
Sergey Savastiouk's Avatar
published in Blogs
Mar 13, 2023
4 Tips for Fast, Effective Stock Analysis

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With just a few clicks, an investor can search for individual stocks, categories of stocks, sectors, or investment themes, and then he or she can conduct a full range of technical and fundamental analysis within seconds.All powered by Artificial Intelligence.  Below, we give you 5 tips for fast, effective stock analysis using Tickeron’s Screener.
Sergey Savastiouk's Avatar
published in Blogs
Mar 20, 2023
5 Golden Principles in Investing

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You have enough faith in that stock, based on research, that the return will equal or exceed the investment.  Do unto others.The principles outlined here will ensure that happens.  Principle #1: Diversification Investors can’t be one-dimensional when constructing a portfolio.
John Jacques's Avatar
published in Blogs
Mar 24, 2023
If Hedge Funds are Using AI to Invest, Why Shouldn’t You?

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Some of the world’s biggest financial institutions have devoted multi-million dollar budgets to developing algorithms that can find patterns in the market, identify trends, and perform automated trading designed to take advantage of even the smallest price movements. The AI revolution is so big that as it stands today, the world’s five biggest hedge funds all use systems-based approaches to trade financial markets.Indeed, quantitative trading hedge funds now manage $918 billion (according to HFR), which amounts to 30% of the $3 trillion hedge fund industry – a percentage continues to grow with each year that passes.
Sergey Savastiouk's Avatar
published in Blogs
Mar 15, 2023
The five most important Lessons Learned After 10,000 hours of Trading