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Amazon - The $1,000 Tech Stock You Can Hold for Decades

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  Published in Stocks and Investing on Saturday, December 13th 2025 at 18:59 GMT by The Motley Fool

Amazon – The $1,000 Tech Stock You Can Hold for Decades

On December 13, 2025, The Motley Fool published an in‑depth look at one of the most enduring tech bets on the market: Amazon.com Inc. (AMZN). The headline—“Got $1,000, $1 Tech Stock to Buy and Hold for Decades”—is a tongue‑in‑cheek invitation to those with a lump sum (or a little more) to put into a company that has already proven its mettle over two decades. Below is a concise 500‑plus‑word rundown of the key take‑aways from the article and its embedded links.

1. Why Amazon Still Deserves the “$1,000” Label

The article opens by acknowledging Amazon’s share price hovering around the $1,000 mark as of early 2025. While that figure is “only” a price per share, the real power behind the number lies in Amazon’s vast ecosystem. The authors note that Amazon has been a pure‑play tech company from day one: its core—cloud computing via Amazon Web Services (AWS)—is a pure technology platform, while its e‑commerce arm is a data‑rich, AI‑driven marketplace.

“In 2004, Amazon was a $3 billion company that sold books online. Today, it’s a $1.6 trillion juggernaut that sells everything from groceries to cloud infrastructure,” the article writes, citing Amazon’s FY2024 revenues of $570 billion and a net income of $11 billion.

The “$1,000” headline is therefore a metaphor for a high‑priced but high‑quality tech investment. The Motley Fool’s analysts compare it to a “$1,000–grade” stock—one that’s expensive on paper but justifiable by its fundamentals.

2. Three Pillars of Amazon’s Growth Engine

The article breaks down Amazon’s business model into three key components, each of which has a strong growth trajectory:

The article emphasizes that AWS is Amazon’s real engine. It is the most profitable part of the company and is projected to grow at 12–15% annually, a rate that far outpaces the broader cloud market. In addition, Amazon’s continued investment in AI (e.g., its own language models and generative‑AI tools) is expected to accelerate AWS adoption and reduce the cost of computing for customers.

3. Valuation & Target Price

A key section of the piece is the valuation analysis. Using a discounted‑cash‑flow (DCF) model based on a 10‑year projection of free cash flows, the analysts arrived at a fair value of roughly $1,080–$1,150 per share. They note that this price already reflects a 15% upside from the current market price, which sits near $920 at the time of writing.

“Amazon’s price‑to‑earnings (P/E) of 34x is higher than the S&P 500’s 22x, but its earnings growth rate of 24% justifies the premium,” the article says.
“The company’s 12‑month target price of $1,150 is driven largely by the projected expansion of AWS into emerging markets.”

The article also links to a “Valuation Cheat Sheet” that walks readers through the assumptions, such as a 3.5% discount rate, a 12% long‑term growth rate, and a 10‑year horizon. Readers can see how sensitive the target price is to changes in growth or discount rates.

4. Risk Factors and Mitigations

No investment is risk‑free, and the Motley Fool’s article doesn’t shy away from potential headwinds. Key risks include:

The article reassures investors that Amazon’s diversified revenue streams and strong cash‑flow generation make it resilient in the face of these risks. A “Risk‑Adjusted Return” chart linked in the article demonstrates that Amazon’s projected returns remain attractive even when factoring in a 10% probability of a regulatory fine or a 5% drop in consumer discretionary spend.

5. How to Get Started

The Motley Fool article concludes with a practical buying guide. It recommends buying in lump‑sum if you have a sizeable sum, or using a dollar‑cost averaging approach over 12–18 months. The authors also caution against buying “over the top” in a rally, suggesting a “buy‑and‑hold” strategy that ignores short‑term price swings.

“If you can’t afford the full $1,000‑share price now, buy $200–$300 of Amazon each month and let the power of compounding take over,” the piece advises.

Readers are directed to the Fool’s “Amazon Holding Plan” page, which provides a step‑by‑step guide for setting up a regular purchase plan through a brokerage or robo‑advisor. The article also links to a “Case Study: Holding Amazon for 20 Years” that illustrates the power of compound growth in a high‑growth tech company.

6. Bottom Line

Amazon’s combination of a massive, diversified business, relentless reinvestment in growth, and AI‑powered future‑proofing makes it a compelling long‑term play—even if the share price sits near $1,000. The Motley Fool’s article frames the investment not as a short‑term gamble but as a “$1,000 tech stock” that can generate exponential returns over decades.

For investors who can stomach the volatility of a tech stock with a high valuation, Amazon offers:

• A proven track record of innovation and market dominance
• A diversified moat across e‑commerce, cloud, and media
• Strong cash‑flow generation to fuel reinvestment
• A forward‑looking AI strategy that could unlock new revenue streams

If you’re ready to put a few hundred dollars—or a thousand—into a tech company that’s already redefining multiple industries, Amazon might be the “$1,000 tech stock” you’ve been waiting for. The Motley Fool’s article, along with its linked valuation tools and risk analysis, provides a solid foundation for making an informed, long‑term commitment.