Understanding why the stock has cratered is a bit more complex, though. At its core, Amazon can be thought of as two businesses: E-commerce and cloud computing. While the company has made a number of strategic investments in advertising, gaming, and media, the e-commerce and cloud segments are, by far, its largest operations.

Given the lingering effects inflation has on consumer purchasing power, coupled with fears of recession and corporations adjusting budgets, both the e-commerce business and the cloud segment for Amazon have been beaten down.

As a result, the company is laying off employees in an effort to scale back expenses and preserve operating capital. While all this certainly is concerning, investors need to zoom out and think long-term. Amazon has several growth levers that have not reached peak performance, and the stock has done nothing but fall since its split earlier in the year. Let's dig into Amazon's entire business, analyze what's growing and what's not, and determine if the stock's current valuation makes it a buy.