Despite the recent volatility of the stock market due to fears related to the spread of the Delta COVID-19 variant and concerns about rising inflation, we believe it might be prudent to invest in quality mega-head stocks because expects them to generate consistent long-term running returns. Apple (AAPL) and Amazon (AMZN) are examples of this class of stocks and should generate stable returns, dodging short-term market fluctuations. But which of these two actions is better now? Read on to find out more. Technology giant Apple Inc. (NASDAQ :), known for its innovative products, such as the iPhone, exceeded the $ 2 trillion market cap in August last year. It currently has a market capitalization of $ 2.44 trillion. In comparison, with a market cap of $ 1.80 trillion, e-commerce giant Amazon.com, Inc. (NASDAQ 🙂 has been making significant advances in cloud space through Amazon Web Services (AWS) and in the entertainment space through its Amazon Prime offerings, among others.
U.S. retail sales rose 0.6% unexpectedly in June and several financial firms reported strong gains earlier this month. However, concerns about the spread of the highly contagious delta variant of COVID-19, high inflation and declining consumer sentiment have been raising doubts about the stability of the stock market. In this context, we believe that it might be prudent to invest in mega-capital stocks due to its impressive market dominance and strong long-term growth prospects. Therefore, both AMZN and AAPL are good bets to generate consistent long-term returns.
AAPL has gained 12.5% over the past month, while AMZN has returned 4.6%. In addition, AAPL’s 23% gain in the last nine months is significantly higher than AMZN’s 9.2% profitability. In addition, in terms of the performance of its last years, AAPL is the clear winner with gains of 51.7% compared to the returns of 19.1% of AMZN.
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