Hedge Fund Manager Druckenmiller: “Jeff Bezos Is A Serial Monopolist”

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Hedge fund manager Stanley Druckenmiller talked very positively about Amazon at the Dealbook conference.

Business Insider:

Legendary hedge fund manager Stanley Druckenmiller says he loves Amazon because, unlike IBM, it’s not focused on short-term quarterly earnings.

“The last 19 quarters, Amazon has missed their quarterly earnings nine times. They don’t give a damn,” Druckenmiller said at the DealBook Conference Tuesday.

(..)

“Oh yeah, I love Amazon,” Druckenmiller said. “Because they’re investing in their future. [Jeff] Bezos is a serial monopolist,” he said, referring to the company’s founder.

Druckenmiller particularly likes Amazon’s profitable cloud-computing business, Amazon Web Services.

You can watch the video at Business Insider.

There is some laughter in the audience when he calls Bezos a “serial monopolist” but he is exactly right. It is precisely what Amazon is doing. (And it is a main part of the reasoning of investors behind the crazy looking P/E ratio of Amazon’s stock.)

On a similar note Wall Street is realizing the immense potential of AWS: “Wall Street believes Amazon has a $160 billion business under its roof”

We talked recently here about Amazon’s AWS advantage. With AWS Amazon is cloud infrastructure wise like a retailer who owns the roads.

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