Amazon is a notoriously difficult company to evaluate by traditional methods because it generates cash flow but not profit, dividends or an accurate book value, writes Travis Hoium, who along with Jeff Bailey of YCharts is skeptical of Amazon investors' optimism. "What's in question is whether or not Amazon can live up to the expectations the market has already put on future growth? It's hard to grow 30% a year when you already have $70 billion in annual sales and even harder when Amazon gets toward $200 billion or $400 billion in sales," Hoium writes.

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