Amazon is a growth stock and has a huge barrier to entry for a competitor. For example, I recently entered into a partnership on a e-commerce business to sell new and refurbished closeout laptops and diamond jewelry over the internet. We set up our own site at http://store.aplusproductsintl.com and we are also selling our products on Amazon and Ebay. Guess which site is providing the most sales thus far ? Yes Amazon ! By a landslide. They really have the most loyal shoppers due to free 2 day shipping for prime customers. And they have the largest selection on earth as they say. As far as a stock price, yes very high PE and very expensive, but can the business be duplicated easily ? I doubt it.