Amazon is ready to roll with Kindles in stock and ready for sale in the rapidly growing segment of consumer electronics.  There is no doubt that the holiday shopping season is of massive importance to a consumer electronics product, and eReaders should be some of the hottest gifts on the market.  It appears that this will be another step forward in their market leading position, and it is a lost opportunity for the competitors.  It is too early to tell if BKS's Nook or Sony's Reader will be the equivalent to Microsoft's (MSFT) Zune, but extending Amazon's lead is troubling.

The Kindle has a year head start on its primary competitors, remember it was the Kindle that sold out prior to last year's holidays.  Sony has other models of readers available already, but the Daily Edition Reader is the closest competitor to the Kindle.  It is also a bit surprising that a seasoned electronics manufacturer like Sony would be caught off guard by supply chain and manufacturing hold ups.  For Barnes & Noble, it is much more understandable given their history as a retailer.

All the while, Amazon.com's stock just continues to set new all-time highs which is truly amazing considering the stock was under $40 less than a year ago.  Now trading at nearly $130, we are reiterating our Fairly Valued stance on the company.  The Kindle has been a hit thus far and has the potential to dominate the digital book market the way the iPod has for digital music.  We all know how that has worked out for Apple (AAPL) in the last decade.  Not to mention, Amazon's ecommerce site has never been hotter and should be a major destination for holiday shoppers.