Technology
Amazon stock remains robust despite warning and upcoming quarterly figures
The Amazon stock remains stable despite upcoming quarterly figures and a warning, and is supported by analysts with optimistic price targets.
The Amazon stock remains stable despite upcoming quarterly figures and a recent warning. With a price of around 187 US dollars, the stock closed nearly unchanged on Monday despite a slight decline of 0.68 percent. Since the beginning of the year, however, the stock has recorded an impressive gain of over 23 percent, underscoring investors' confidence in the e-commerce giant.
JPMorgan Analysts Maintain "Overweight" Rating on Stock with a Price Target of $230, Signifying a Potential Increase of About 22.64 Percent. Douglas Anmuth, an Analyst at the Investment Bank, Expressed Optimism Regarding Upcoming Quarterly Figures. Experts Anticipate a Third-Quarter Earnings of $1.14 per Share, Reflecting an Increase of Over 34 Percent Compared to the Same Quarter Last Year. Additionally, They Forecast an Earnings per Share of $4.85 for the Entire Fiscal Year 2024 – a Growth of 70.8 Percent Compared to the Previous Year.
The solid market performance in the growing e-commerce segment, investments in generative artificial intelligence (AI), and the expansion of Prime services significantly contribute to this positive assessment. According to Barchart.com, the focus on small and medium-sized enterprises is also considered a strong growth driver.
Pivotal Research is also optimistic with a "Buy" rating for Amazon and a price target of 260 US dollars, corresponding to an increase of almost 39 percent. The analysts emphasize the company's competitive advantages in its core areas and expect rapid growth, particularly in the advertising business, as well as significant increases in operating margins.
Despite these positive prospects, a warning from the Consumer Center is only slightly impacting the stock.
The current challenges are reflected in a slight decline in the stock, which fell by 0.29 percent to $187.00 at times during trading. Nevertheless, the overall sentiment among investors remains positive, as shown by the average price targets from TipRanks at $224.38. Out of a total of 47 analysts, 45 recommend buying the stock, while two advise holding.
