Investors are always looking for stocks that are poised to beat at earnings season and Amazon.com, Inc. AMZN may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their re
Below is Validea's guru fundamental report for AMAZON.COM, INC. (AMZN). Of the 22 guru strategies we follow, AMZN rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhi
Below is Validea's guru fundamental report for AMAZON.COM, INC. (AMZN). Of the 22 guru strategies we follow, AMZN rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhi
Motorola Solutions, Inc. MSI is scheduled to report second-quarter 2023 results on Aug 3, after the closing bell. In the last reported quarter, the company delivered an earnings surprise of 7.8%. It pulled off a trailing four-quar
The tech market has been in recovery mode this year after an economic downturn caused a sell-off in 2022. Easing inflation and advances in technology, such as artificial intelligence (AI), have Wall Street particularly bullish. As a result, now is an excellent time to consider ex
Tech giant Amazon (
NASDAQ:AMZN
) will report its Q2 earnings on Thursday, August 3. Improving market sentiment, led by moderation in inflation and an expected stabilization in interest rates, could drive consumer spending, leading to improved earnings. However, given the recent run in AMZN stock, the upside potential remains capped even with a solid Q2 beat, noted
Wedbush analyst Michael Pachter.
Pachter reiterated a Buy on Amazon stock ahead of Q2 earnings. The analyst expects the company to benefit from the uptick in macro sentiment. He added that Amazon is exposed to consumer (via e-commerce and physical stores) and corporate (through AWS and advertising) spending. Thus, it is well-positioned to benefit from an improvement in “consumer confidence.”
Pachter expects Amazon to deliver strong Q2 results and provide solid Q3 guidance. However, his “share price appreciation expectations are capped” due to the strong recovery in Amazon stock so far this year. It’s worth highlighting that Amazon stock has gained about 57% year-to-date. During the same period, the NASDAQ 100 Index (
NDX
) and the S&P 500 Index (
SPX
) were up about 44% and 19%, respectively.
With Pachter expecting AMZN’s Q2 earnings to impress investors, let’s delve into analysts’ consensus estimates.
Here’s What Consensus Estimates Indicate
Wall Street expects Amazon to post revenue of $131.49 billion,
up from $121.23 billion in the prior-year quarter. Further, its top line is also likely to improve on a sequential basis.
Its revenue will likely benefit from the uptick in the macro environment, which will drive consumer spending. Further, the strength in the cloud and advertising businesses will support top-line growth.
Further, the company's focus on reducing costs across all businesses will cushion its bottom line. Analysts expect Amazon to
post earnings of $0.35 a share in Q2, compared to a loss of 0.2 per share in the prior-year quarter. Moreover, the company’s EPS is projected to increase on a quarter-over-quarter basis.
Monness analyst Brian White expects Amazon to deliver a 9% year-over-year increase in sales and surpass Street’s estimates in Q2. Further, the analyst expects Amazon’s bottom line to handily exceed analysts’ consensus estimates and reach $0.41 a share. The analyst is bullish about the stock and reiterated a Buy rating on July 25.
Is Amazon Stock a Buy, Sell, or Hold Today?
With 29 unanimous Buy recommendations,
Amazon stock is a Strong Buy on TipRanks. These analysts’ average price target of $152.52 implies 15.82% upside potential from current levels.
Options Activity Highlights 6.66% Earnings-Related Move
While analysts are bullish about Amazon stock ahead of Q2 earnings,
option traders are pricing in a 6.66% move on earnings, which is greater than the previous quarter’s earnings-related move of -3.98% and the average -2.98% move in the last eight quarters.
Learn more about TipRanks’ option tool
here.
Disclosure
The S&P 500 and Nasdaq closed weaker on Tuesday, the first day of seasonally slow August, ahead of U.S. jobs data and major companies' earnings reports later this week.
Image-sharing platform Pinterest beat second-quarter revenue estimates on Tuesday as monthly active users surged and digital advertising rebounded from a downturn triggered by an uncertain economy.
The S&P 500 and Nasdaq closed weaker on Tuesday, the first day of seasonally slow August, ahead of U.S. jobs data and major companies' earnings reports later this week.
The S&P 500 fell on Tuesday, the first day of a historically weak month, as investors awaited U.S. jobs data and major companies' earnings reports later this week.
Amazon is set to report its second-quarter earnings this Thursday. Here's what investors need to know about the numbers that could move Amazon stock, and why.
Earnings season continues to chug along, with the period kicking into a much higher gear this week. So far, the Q2 cycle has been positive, helping reassure investors and boosting overall sentiment within the market.
Amazon’s AMZN second-quarter 2023 results, scheduled to be released on Aug 3, are likely to reflect gains from its strengthening cloud service offerings.The cloud computing division, Amazon Web Services (AWS), dominates the cloud
Wall Street's main indexes fell on Tuesday as investors assessed mixed earnings from industry heavyweights and digested data that showed manufacturing activity slowed more than expected in July.
Apple AAPL is set to report its third-quarter fiscal 2023 results on Aug 3.The company expects the to-be-reported quarter’s year-over-year revenue growth to be similar to that of the March quarter due to unfavorable forex.The Zack
The Federal Reserve has been quite aggressive in its fight against inflation. Officials approved 11 rate hikes during the 12 meetings between March 2022 and July 2023, raising the benchmark federal funds rate at its fastest pace since the early 1980s. But the abrupt change in mon
Billionaire investor Daniel Loeb has reduced the size of short bets on single named companies to limit the vulnerability of his hedge fund, Third Point, to short squeezes, he said in a letter on Tuesday.
After a challenging 2022 during which macroeconomic headwinds and fears of a potential recession caused steep declines in e-commerce stocks, Wall Street has grown bullish about Amazon (NASDAQ: AMZN) again.
Below is Validea's guru fundamental report for AMAZON.COM, INC. (AMZN). Of the 22 guru strategies we follow, AMZN rates highest using our P/B Growth Investor model based on the published strategy of Partha Mohanram. This growth model looks for low book-to-market stocks that exhi
Finding a stock that rises 10-fold in value within a short time frame requires luck even for experienced investors. But if you buy a stock that compounds in value by 15% per year, the value of your investment will grow by just over 10-fold within 17 years. And finding investments