Amazon’s Five-Year Performance Trails S&P 500 Despite Strong E-Commerce Momentum
Amazon's stock (AMZN) delivered a modest 56% return over the past five years, turning a $1,000 investment in September 2020 into $1,560 today. This pales in comparison to the S&P 500's 112% surge during the same period.
The underperformance stems from Amazon's pandemic-fueled peak in 2020, when lockdowns propelled e-commerce demand. By September 2020, AMZN had already rallied 63% year-to-date versus the S&P 500's 5% gain—creating a high baseline for subsequent comparisons.
Zooming out reveals a different picture: From January 2020 through present, Amazon outperformed the broader market by 26 percentage points. The stock's recent plateau reflects normalization after its COVID-era acceleration rather than fundamental weakness.