Amazon Is an E-Commerce Beast, but This Much Smaller Segment Makes Up 60% of Its Operating Profit

When most people think of Amazon (NASDAQ: AMZN), it's the company's vast e-commerce business that comes to mind. That is, after all, what generates the bulk of its revenue. But to compete on price with other retailers (both online and brick-and-mortar stores), its margins need to be razor-thin. And that means its profits from that area of its operations aren't huge.Even though the company generates hundreds of billions of dollars in revenue thanks to its online stores, it's a much smaller segment of its business that brings in the lion's share of its operating profit. It's also the segment that growth investors are often most excited about: Amazon Web Services (AWS).Amazon's cloud computing business, AWS, is a key part of the company's growth. But what may surprise you is that it's an even more important part of its bottom line.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool