Amazon (NASDAQ:AMZN) stock cratered 14% last Friday, falling to nearly a two-year low. The eCommerce giant recorded its worst daily performance since 2014, following relatively weak quarterly results and forward guidance.

Amazon’s first-quarter results came in well below expectations. International and domestic revenues were down considerably from the prior quarter, while cloud revenues were impressed again. Moreover, advertising sales of $7.9 billion came in behind the $8.2 billion it made last year.

More importantly, the company’s operating margin came in at a deplorable 3.2% of sales compared to 8.2% a year ago. It includes a massive valuation loss of $7.60 billion from an EV firm Rivian Automotive (NASDAQ:RIVN), investment. However, operating income was below expectations regardless of the investment loss.

The tech giant’s revenue forecast didn’t sit too well with the market. It estimates revenues to fall within the 3% to 7% range, rattling those who felt the pandemic tailwinds were still in play. Amazon states a unique blend of growth and cost challenges contributed to the lackluster guidance.

The bulls have slashed their price targets for AMZN stock but expect a strong showing over the long term. Financial services company, William Blair, notes that retail juggernaut is facing margin pressures as it looks to navigate the challenging macro-economic conditions. He feels that investment spending is likely to normalize in the upcoming quarters.

Moreover, investment bank Morgan Stanley believes that consumer demand is still strong for the company as it looks toward a profitable second half of the year. Therefore, AMZN stock remains a strong buy for the long haul and the pull-back offers an exciting entry point.

On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines