Amazon's Innovation And Its Financial Implications: Can The Tech Giant's Planned Free Mobile Service Drive Its Share Price To 200?

• Amazon is in talks with major telecom companies to provide cost-effective or free mobile phone services.
• Amazon's stock price has surged by 47% this year, with a 14% increase in May alone.
• The stock shows bullish momentum and has the potential to reach or surpass its all-time high of $188, although there are some resistance levels to watch.

Amazon.com, Inc. AMZN is once again showcasing its constant thirst for innovation and expansion. Recent reports have highlighted discussions with Verizon, T-Mobile, Dish Network, and AT&T to give Amazon the ability to provide cost-effective or free nationwide mobile phone services to its Prime subscribers in the United States.

This move has the potential to revolutionize the telecom industry, adding a new dimension to Amazon's already extensive list of services and bridging the gap between e-commerce and telecommunication.

By integrating wireless plans and a subscription to Paramount+ into its Prime service, Amazon is set to hugely enhance its market standing.

Amazon has already seen an impressive 47% surge in stock price this year. May alone saw a 14% increase.

Their stock is showing bullish momentum, with the potential of reaching or surpassing its all-time high of $188. The only potential obstacles are the weekly 200 simple moving average at $132 and the resistance level at $144.

However, given Amazon's consistent growth trajectory and success with long-term trends lasting years, these obstacles are unlikely to hinder its progress significantly.

Despite seeing a pullback of over 55% between 2021 and 2022, it appears that Amazon is on track to recover and potentially exceed its previous peak.

If Amazon's telecom venture proves successful, shareholders could see stock prices soaring past $188, and possibly even surpassing the $200 psychological resistance.

Not only would this potentially benefit investors, but Amazon's entry into the telecommunications world could also revolutionize the e-commerce industry by offering unprecedented integrated services.

After the closing bell on Tuesday, June 6, the stock closed at $126.61, trading up by 1.01%.