The latest technology rout has hit hard FANG stocks, pushing them in correction territory. After Facebook (FB - Free Report) , Alphabet (GOOGL - Free Report) and Netflix (NFLX - Free Report) , Amazon (AMZN - Free Report) has witnessed a decline of 10% from its latest peak.

The technology giant saw terrible trading on Mar 28 following Axios reports, which stated that President Donald Trump is looking to target the e-commerce giant over antitrust or competition laws and is considering ways to change the tax treatment. The stock dropped as much as 7% on the day but recovered some losses to close at down 4.4%. It has shed about $30 billion from its market value in a single day.

With the slide, Amazon entered correction territory and is currently down 11.5% from its latest peak of $1,617.54. With a day’s trading day left in March, the stock has lost 5.5% putting it on track for its worst month since October 2016. Most of the losses came on the heels of a huge decline in large-cap Internet and technology names over the past week.

What’s worse, the weak trading seems to have carried over today with Trump's tweet that the online retailer pays "little or no taxes to state & local governments."

Despite the latest crunch, Amazon remains one of the best-performing stocks of the year and the biggest boost to the overall market, climbing more than 22% so far and more than 66% over the past 12 months.

Strong Fundamentals

The stock carries a Zacks Rank #3 (Hold) and has a top Growth and Momentum Score of A each, suggesting that the stock is primed for future growth. It has seen strong earnings estimate revision of 15 cents for this year over the past 90 days with an estimated earnings growth rate of 86.59%. This is much higher than the industry average growth of 13.89%. The company is also expected see above-average revenue growth of 31.68% versus 19.61%. Further, Amazon’s earnings surprise history is also solid with a positive earnings surprise of 1,272.26% on average for the last four quarters.

Nevertheless, Amazon has a bloated P/E of 176.28, which makes it much expensive than other FANG stocks and many other high-tech names. This could spell trouble for the stock in the days ahead. But investors should note that the tech giant has shown immense potential to grow, surpassing Microsoft (MSFT - Free Report) for the first time in February in market cap and Alphabet just before the tech sell-off to become the world's second-most valuable company. 

Given the strong fundamentals but somewhat bearish near-term sentiments, investors may want to consider staying on the sidelines for the time being. However, risk tolerant long-term investors may want to consider the recent slump a buying opportunity, should they have the patience for extreme volatility. Also, they can invest through ETFs having the highest allocation to the online behemoth.

This is because the funds have spread out exposure to a number of firms in various types of industries suggesting that these can easily counter shocks from some of the industry’s biggest components. Below we have highlighted some of them:

VanEck Vectors Retail ETF (RTH - Free Report) — The fund added 0.17% on Mar 28 despite the fact that Amazon makes up for 24% of its assets. It has a Zacks ETF Rank #3 (Hold) with a Medium risk outlook.

Consumer Discretionary Select Sector SPDR Fund (XLY - Free Report) — The fund shed 1.1% on the day and has a Zacks ETF Rank #1 (Strong Buy) with a Medium risk outlook. Amazon accounts for 21.1% share.

iShares U.S. Consumer Services ETF (IYC - Free Report) — Amazon takes 17.9% of the portfolio. Despite this, the fund has shed just 0.8% and carries a Zacks ETF Rank #3 with a Medium risk outlook.

iShares Edge MSCI Multifactor Consumer Discretionary ETF (CNDF - Free Report) –– This fund was down 1.5% on Mar 28 and has a Zacks ETF Rank #2 (Buy) with a Medium risk outlook. Amazon accounts for 17.8% of the assets.

Fidelity MSCI Consumer Discretionary Index ETF (FDIS - Free Report) — This ETF has a Zacks ETF Rank #3 with a Medium risk outlook and lost 1.2% on the day. Amazon has 17.4% allocation.

Vanguard Consumer Discretionary ETF (VCR - Free Report) — This product was down 1.04% and has a Zacks ETF Rank #3 with a Medium risk outlook. AMZN makes up for 17% share in the basket.