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Amazon (AMZN) Stock Sinks As Market Gains: What You Should Know
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Amazon (AMZN - Free Report) closed at $3,346.83 in the latest trading session, marking a -0.08% move from the prior day. This change lagged the S&P 500's daily gain of 0.2%.
Heading into today, shares of the online retailer had gained 5.95% over the past month, outpacing the Retail-Wholesale sector's loss of 0.12% and the S&P 500's gain of 1.06% in that time.
Investors will be hoping for strength from AMZN as it approaches its next earnings release. On that day, AMZN is projected to report earnings of $12.16 per share, which would represent year-over-year growth of 18.06%. Our most recent consensus estimate is calling for quarterly revenue of $115.05 billion, up 29.4% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $57.42 per share and revenue of $487.98 billion. These totals would mark changes of +37.27% and +26.4%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for AMZN. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.09% higher within the past month. AMZN is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, AMZN currently has a Forward P/E ratio of 58.33. This represents a premium compared to its industry's average Forward P/E of 56.63.
Also, we should mention that AMZN has a PEG ratio of 2.09. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. AMZN's industry had an average PEG ratio of 2.09 as of yesterday's close.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 231, which puts it in the bottom 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Amazon (AMZN) Stock Sinks As Market Gains: What You Should Know
Amazon (AMZN - Free Report) closed at $3,346.83 in the latest trading session, marking a -0.08% move from the prior day. This change lagged the S&P 500's daily gain of 0.2%.
Heading into today, shares of the online retailer had gained 5.95% over the past month, outpacing the Retail-Wholesale sector's loss of 0.12% and the S&P 500's gain of 1.06% in that time.
Investors will be hoping for strength from AMZN as it approaches its next earnings release. On that day, AMZN is projected to report earnings of $12.16 per share, which would represent year-over-year growth of 18.06%. Our most recent consensus estimate is calling for quarterly revenue of $115.05 billion, up 29.4% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $57.42 per share and revenue of $487.98 billion. These totals would mark changes of +37.27% and +26.4%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for AMZN. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.09% higher within the past month. AMZN is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, AMZN currently has a Forward P/E ratio of 58.33. This represents a premium compared to its industry's average Forward P/E of 56.63.
Also, we should mention that AMZN has a PEG ratio of 2.09. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. AMZN's industry had an average PEG ratio of 2.09 as of yesterday's close.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 231, which puts it in the bottom 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.