How to buy shares in Amazon

Content Producer · 9 November 2021
Amazon is one of the biggest companies in the world, the online retailer continues to expand and grow, even launching in Australia in late 2017. If you are interested in owning a piece of Amazon, here’s what you need to know.

What is Amazon?

Amazon began as an online bookstore in 1994, and over the past 27 years has become a giant online superstore, selling all things from electronics to pet supplies. Amazon has also expanded into other industries with brands like Amazon Prime Video (a streaming platform), Amazon Music, Amazon publishing and Amazon studios. Amazon even expanded their bricks and mortar footprint when they acquired Whole Food Market in 2017. Today, Amazon is considered to be one of the world’s most valuable brands.

How have Amazon stocks performed?

When Amazon made its initial public offering (IPO) in 1997, its share price was $18. Today, Amazon’s share price is hovering around USD$3,488.98. Its share price particularly skyrocketed during the start of the COVID-19 pandemic, jumping almost 80% between March and July 2020. The online retailer reached the trillion-dollar milestone for the first time in 2018 and again in 2020.

How to buy Amazon shares in Australia

Amazon trades on the NASDAQ stock exchange under the stock ticker AMZN. To access Amazon shares you’ll need to find a broker that allows you to trade on the NASDAQ. There are several brokers in Australia that provide access to international shares such as Amazon. When comparing online share trading brokers you should consider the fees, functions and whether the platform is easy to use.

Should I invest in international shares?

There are plenty of benefits to investing overseas, including access to some of the largest companies in the world, like Amazon, and the ability to diversify your portfolio. Another advantage is the cyclical patterns of overseas markets that, at times, move in the opposite direction of the Aussie share market which can help smooth out your returns. There are a few downsides to be aware of as well, such as the currency exchange fees, the different rules and regulations, Australian tax laws, and economic and political threats.

If you are thinking of investing in Amazon you should first thoroughly research the company to ensure that it aligns with your investment goals and strategy. Also, bear in mind that past performance is not an indicator of future performance.

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Marissa is the Content Producer for the Wealth team at Canstar, and specialises in investment content. Her previous experience has seen her create content for wide range of industries from travel to the legal sector. Follow Marissa on LinkedIn, and Canstar Investor Hub on Facebook.

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