Amazon’s ‘Safe’ Retail Business Earns Less Than AWS Does. Is the Stock Still a Good Buy for Cautious Investors?

Amazon's AWS segment has become the company's primary profit engine, generating 60% of operating income on just 21% of sales, while e-commerce retail contributes less. Despite heavy AI infrastructure spending pushing free cash flow negative, the article suggests Amazon remains a reasonable buy for long-term investors at current valuations (29x forward earnings), though cautious investors should consider starting with smaller positions.