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Amazon (AMZN) Boosts Portfolio Via Kindle Paperwhite Models

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Amazon (AMZN - Free Report) has introduced three new models of the next generation Kindle Paperwhite, namely Kindle Paperwhite, Kindle Paperwhite Signature Edition and Kindle Paperwhite Kids.

The latest models feature advanced hardware and a redesigned user interface to deliver an enhanced reading experience. The Kindle Paperwhite also ensures faster performance.

The all-new Kindle Paperwhite comes with the largest ever display of 6.8 inches and an adjustable warm light and a white-on-black dark mode, offering flexibility in any time reading.

The Kindle Paperwhite Signature Edition offers auto-adjusting front light for comfortable reading. It is the first-ever Kindle that provides wireless charging.

The all-new Kindle Paperwhite and Kindle Paperwhite Signature Edition offer a long-lasting battery life of 10 weeks.

Further, the Kindle Paperwhite Kids is the first-ever Paperwhite device designed for children that comes with a one-year subscription to Amazon Kids+.

All the Paperwhite models provide users with instant access to the Kindle Store, which contains a massive collection of millions of books, newspapers, audiobooks and magazines.

With the latest launches, Amazon has expanded its portfolio of e-book offerings. We believe the above-mentioned features are expected to drive the company’s customer momentum in the e-book market.

Growing E-Book Reader Market

Digital advancements in the education sector are increasing the adaptation of e-learning in the curriculum that helps students gain an improved learning experience. This acts as a key driver for market growth.

In addition, growing use of the Internet, changing lifestyles and inflating income levels are propelling the market.

Further, some leading manufacturers operating in the industry are providing additional capabilities like color-adjustable front light, offline dictionary, access to a cloud for managing purchased books and extended storage for audiobooks to attract more customers. This is also proliferating the market.

Per a report by Facts and Factors, this market is expected to hit $38.17 billion by 2026, witnessing a CAGR of 3.7% between 2021 and 2026.

Additionally, a report of imarc indicates that this global market is likely to progress at a CAGR of 6.21% during the 2021-2026 period.

Amazon remains well poised to capitalize on the abovementioned prospects on the back of its robust Kindle portfolio.

Intensifying Competition

Given the upbeat scenario, not only Amazon but other companies like Rakuten, Boyue, and Barnes & Noble Education are also making strong initiatives to penetrate the e-book reader market, thus intensifying market competition.

Recently, Rakuten’s subsidiary Kobo launched Kobo Elipsa that offers users both digital reading and writing experience. The dual experience helps users to jot down notes and capture their ideas.

Meanwhile, Boyue introduced updates in Likebook Mars and Mimas to fix typography and provide an enhanced experience to readers.

Further, Barnes & Noble’s Nook e-readers offer users millions of eBooks, digital comics, newspapers & magazines to read anytime and anywhere. This remains noteworthy for the company.

Zacks Rank & Stocks to Consider

Currently, Amazon carries a Zacks Rank #4 (Sell).

Some better-ranked stocks in the retail-wholesale sector include Hibbett (HIBB - Free Report) , Capri Holdings Limited (CPRI - Free Report) , and Petco Health and Wellness Company (WOOF - Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The long-term earnings growth rates for Capri Holdings, Petco Health and Wellness, and Hibbett are currently projected at 46.4%, 44.7%, and 22.4%, respectively.