The market sees a premium price today, but a patient investor is buying a very different valuation three years from now.

If you’ve glanced at Amazon.com (AMZN) stock, you’ve probably had the same thought: it looks expensive. On this year’s expected earnings, the stock trades at a price-to-earnings ratio of about 27.9. For many investors, that’s where the analysis stops. But it shouldn’t.

The real story is what happens to that multiple if you’re willing to wait. On the earnings analysts expect by 2028, that same share price of $245.98 translates to a multiple of just 18.9. That’s a 32% discount, and it materializes on its own as earnings grow into the price. A patient holder isn’t paying today’s premium; they are…