Nasdaq Enters Correction: Amazon and Microsoft Stock Insights

In a recent report, the Nasdaq has entered correction territory, with notable drops for stocks like Amazon and Microsoft. Despite this, both companies continue to show potential for long-term growth, appealing to investors looking for opportunities.

Date: 12-03-2025

AI Rating: 6

Market Trends
As of March 10, the Nasdaq Composite index has experienced a correction, declining over 9% year to date, signaling a challenging environment for many stocks. This correction could impact investor sentiment and stock prices, particularly for large-cap companies within the index.

Amazon (NASDAQ: AMZN)
Despite a decline of 11% in stock value in 2025, Amazon's downturn is attributed to external factors rather than fundamental issues within the company. It's important to note that Amazon has seen a significant turnaround in its international operating income, shifting from a loss of $2.7 billion in 2023 to a positive operating income of $3.8 billion in 2024. This indicates a transformative phase for Amazon's international operations, which could attract investors looking for growth.

Microsoft (NASDAQ: MSFT)
Similarly, Microsoft has seen a 10% drop in stock price through March 10, and a notable decline of close to 19% since its high in July 2024. Nonetheless, Microsoft reported impressive fiscal results, with a revenue of $69.6 billion for its second quarter, reflecting a strong 12% growth year-over-year, and operating income that grew by 17%. This robust financial performance reinforces Microsoft's resilient market position, particularly given its critical role in corporate operations.

The current drop in stock prices for both Amazon and Microsoft may present a buying opportunity for long-term investors, especially considering their proven track records and market leadership.

Stocks: AMZN MSFT