Amazon’s February Blues: Should Investors Pivot to These 2 Stocks?

Amazon (NASDAQ: AMZN) has had a bit of a bad month. 

That’s perhaps an understatement — its share price has dropped 13.62% in the last month, the news stories are not flattering, Warren Buffet just dumped it, and investors did not seem to take kindly to its announcement of $200B of spending (mostly on AI initiatives).



A note from our sponsors...

And according to the Zen Ratings System, Amazon wasn’t even the play to make before the price drop. It is and has been holding steady at a “C” rating for some time now. Stocks with a Zen Rating of A have an average annual return of +32.52%. Stocks with a C rating average +7.53%. There are better options.

You don’t need to invest in the big names to have a great portfolio. So, what alternatives are there? Here are two A-rated stocks to check out instead:

1. Atrenew  (NYSE: RERE)

In the world of internet retail, RERE is actually our highest-rated stock, and it’s in a particularly good position right now. It’s a consumer electronics trade-in platform based in China where users and businesses sell electronics to the company. RERE manages, inspects, and prices them, then makes them available for sale. Given its Component Grades (seen below), it’s a company with strong movement behind it that you shouldn’t ignore.

And keep in mind that with shortages caused by the demands of AI, rising prices for memory and storage, and other factors, the used or refurbished electronics market will look much more appealing not only in China but worldwide. Where tech companies will struggle, RERE will likely thrive, at least in the short term.

2. Macy’s (NYSE: M)

Perhaps you may have me pegged as in the wrong timeline here, talking about a department store in the year 2026, but there’s a case to be made for Macy’s right now, even if department stores aren’t as flashy as e-commerce. M’s had an excellent last 12 months, has a clear plan for the future after a long period of suffering, and has strong luxury results at the moment.

Looking at the Component Grades, M is a value play right now, with a Component Grade of A for Value, B for Sentiment, and C for everything else. But that value opportunity carries it, and certain investors will want to take a much closer look at M’s Bold New Chapter plan and how closely it’s able to follow through.

Looking for more information on stocks that might be hidden gems or be good alternatives to the big names? WallStreetZen Premium has all you need. With it, you get an unlimited watchlist, all the fundamental stock information you need (including on those listed above), and access to premium stock ideas pages.

Though keeping track of everything can be a lot, and you might want a more guided approach so you can focus on other things than just your portfolio while still making wise decisions. That’s what Zen Investor is for. With it, you get regular updates and commentary on the market from our own Steve Reitmeister, who has more than 40 years of investing experience. You’ll also receive a model portfolio crafted using his experience and the Zen Ratings systems you can use to help you pick out the best stocks.

What to Do Next?

• 77 Best Stocks NOW! >
• See All “A” Rated Stocks with +32.52% Average Annual Return >
• 2 New Stocks to Buy from Steve Reitmeister >

Want to get in touch? Email us at news@wallstreetzen.com.