Amazon.com Inc. (AMZN) Lifted to Buy at Zacks Investment Research
Amazon.com Inc. (NASDAQ:AMZN) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a note issued to investors on Wednesday. The brokerage currently has a $914.00 target price on the e-commerce giant’s stock. Zacks Investment Research’s target price would suggest a potential upside of 11.99% from the company’s current price.
According to Zacks, “Amazon is one of the largest online retailers in the world. The company reported better-than-expected second quarter results surpassing our estimates on revenues and earnings. Amazon is driving value across all its businesses and especially the retail business remains very hard to beat on price, choice and convenience. The company has a solid loyalty system in Prime and its FBA strategy, and content addition continues to add selection to Prime memberships. The AWS generates much higher margins than retail, so it has a very positive impact on Amazon’s profitability. Devices and IoT is also a potential growth area. However, Prime saturation in the U.S. market and competition in online retail remains concern.”
Several other analysts have also commented on AMZN. MKM Partners raised their price target on shares of Amazon.com from $800.00 to $850.00 and gave the company a “buy” rating in a research report on Wednesday, June 1st. Robert W. Baird initiated coverage on shares of Amazon.com in a research report on Tuesday, May 31st. They set a “buy” rating on the stock. Vetr upgraded shares of Amazon.com from a “sell” rating to a “hold” rating and set a $700.67 price target on the stock in a research report on Wednesday, June 1st. Sanford C. Bernstein reaffirmed a “buy” rating on shares of Amazon.com in a report on Thursday, June 2nd. Finally, Cantor Fitzgerald reaffirmed a “buy” rating on shares of Amazon.com in a report on Saturday, June 4th. Five analysts have rated the stock with a hold rating and forty-six have assigned a buy rating to the company’s stock. The company has a consensus rating of “Buy” and a consensus price target of $878.06.
Shares of Amazon.com (NASDAQ:AMZN) opened at 816.11 on Wednesday. The company has a market cap of $386.90 billion, a P/E ratio of 202.96 and a beta of 1.11. Amazon.com has a 12 month low of $474.00 and a 12 month high of $816.64. The company’s 50 day moving average is $773.95 and its 200 day moving average is $704.76.
Amazon.com (NASDAQ:AMZN) last released its quarterly earnings results on Thursday, July 28th. The e-commerce giant reported $1.78 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $1.11 by $0.67. The company had revenue of $30.40 billion for the quarter, compared to analyst estimates of $29.54 billion. Amazon.com had a net margin of 1.60% and a return on equity of 13.52%. The firm’s revenue was up 31.1% on a year-over-year basis. During the same quarter last year, the business earned $0.19 earnings per share. On average, equities research analysts predict that Amazon.com will post $5.81 EPS for the current fiscal year.
In related news, CEO Andrew R. Jassy sold 14,000 shares of Amazon.com stock in a transaction dated Thursday, September 22nd. The stock was sold at an average price of $800.00, for a total transaction of $11,200,000.00. Following the transaction, the chief executive officer now directly owns 68,141 shares of the company’s stock, valued at $54,512,800. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, VP Shelley Reynolds sold 625 shares of Amazon.com stock in a transaction dated Monday, August 15th. The stock was sold at an average price of $770.10, for a total value of $481,312.50. Following the transaction, the vice president now directly owns 6,519 shares in the company, valued at $5,020,281.90. The disclosure for this sale can be found here. Corporate insiders own 17.70% of the company’s stock.
A number of hedge funds and other institutional investors have recently added to or reduced their stakes in AMZN. Vanguard Group Inc. raised its position in Amazon.com by 4.8% in the second quarter. Vanguard Group Inc. now owns 23,795,875 shares of the e-commerce giant’s stock worth $17,028,804,000 after buying an additional 1,082,051 shares during the last quarter. Emerald Acquisition Ltd. purchased a new position in Amazon.com during the second quarter worth about $479,380,000. Societe Generale purchased a new position in Amazon.com during the second quarter worth about $391,842,000. Bank of Montreal Can purchased a new position in Amazon.com during the second quarter worth about $341,933,000. Finally, Point72 Asset Management L.P. raised its position in Amazon.com by 224.2% in the second quarter. Point72 Asset Management L.P. now owns 666,620 shares of the e-commerce giant’s stock worth $477,047,000 after buying an additional 461,020 shares during the last quarter. 65.44% of the stock is currently owned by hedge funds and other institutional investors.
Amazon.com, Inc offers a range of products and services through its Websites. The Company’s products include merchandise and content that it purchases for resale from vendors and those offered by third-party sellers. The Company has three segments: North America, International and Amazon Web Services (AWS).
Receive News & Stock Ratings for Amazon.com Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Amazon.com Inc. and related stocks with our FREE daily email newsletter.