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
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For Immediate ReleaseChicago, IL – May 15, 2023 – Zacks.com releases the list of companies likely to issue earnings surprises. This week’s list includes Walmart WMT, Target TGT and Amazon AMZN.
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
Blue chip stocks are shares in companies with impressive performance over decades that has given them a burnished reputation among their customers as well as the stock market.
Amazon (
NASDAQ:AMZN
) has enhanced its delivery network over the past several months to cut down on shipment times and control costs, as per
The Wall Street Journal’s report. Interestingly, these initiatives have led to
AMZN stock’s year-to-date rally of over 28%. This comes after a drop of more than 51% in 2022. Additionally, the company's goal to increase profitability should continue to support the stock's upward trend.
The overhaul was imminent as the pandemic boom was soon followed by slack in consumer demand due to rising recession fears. With these changes, the e-commerce giant improved its inventory management and modified the search results on its website to highlight products with quick delivery.
It is noteworthy that these efforts have assisted in reducing Amazon's delivery expenses. Compared to a 14% increase in the prior year's quarter, Amazon only saw a 2% year-over-year increase in global shipping costs in its first-quarter 2023
earnings report on April 27.
The company’s recent efforts at supporting its bottom-line growth include
offering U.S. Prime customers $10 to pick up orders rather than shipping them to their home addresses.
Looking forward, Amazon plans to increase the number of its same-day centers to at least 150 in the next few years. This is because the company saw a 50% surge in customers choosing the same-day delivery option during the most recent reported quarter.
AMZN’s Technical Analysis Indicates an Uptrend
Amazon stock’s
technical indicators are currently giving off a bullish signal. AMZN is a Buy based on TipRanks’ easy-to-understand summary signals.
According to TipRanks’ technical analysis tool, the stock’s 50-Day EMA (exponential moving average) is 102.66, while its price is $110.26, making it a Buy. Further, AMZN’s shorter-duration EMA (20-day) also signals an uptrend.
Is Amazon a Buy or Sell?
AMZN stock sports a Strong Buy consensus rating on TipRanks based on 35 Buy and one Hold recommendations. Analysts’ average price target of $134.24 implies 21.75% upside potential from current levels.
Disclosure
The following are the top rated Consumer Discretionary stocks according to Validea's Earnings Yield Investor model based on the published strategy of Joel Greenblatt. This value model looks for companies with high return on capital and earnings yields.EXPEDIA GROUP INC (EXPE) is