Amazon: Stronger Than Ever With Globalstar Deal

The Value InvestorInvesting Group LeaderFollow5ShareSavePlay(8min)CommentsSummaryAmazon is acquiring Globalstar to expand its LEO satellite network, enhancing global connectivity and competing with Starlink.The $10+ billion Globalstar deal is a bolt-on for Amazon, representing just 0.3-0.4% of its valuation but signaling strategic ambition.Amazon's AWS growth (20% to $129B revenue, mid-30% margins) and improving company-wide margins underpin a robust long-term investment case.I remain content holding AMZN for the long term, as the investment thesis is intact and momentum has been strong, but see no rush to chase shares after recent gains.Looking for a helping hand in the market? Members of Value In Corporate Events get exclusive ideas and guidance to navigate any climate. Learn More » hapabapa/iStock Editorial via Getty Images Shares of Amazon (AMZN) made a convincing move higher, trading within the immediate vicinity of all-time highs. Investors apparently like the announced deal for Globalstar, which marks a big step in expanding the Amazon Leo satellite network. I like this This article was written byThe Value Investor27.76K FollowersFollowThe Value Investor has a Master of Science with specialization in financial markets and a decade of experience tracking companies via catalytic company events. As the leader of the investing group Value In Corporate Events they provide members with opportunities to capitalize on IPOs, mergers & acquisitions, earnings reports and changes in corporate capital allocation. Coverage includes 10 major events a month with an eye towards finding the best opportunities. Learn more.Analyst’s Disclosure: I/we have a beneficial long position in the shares of AMZN either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.