We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Amazon (AMZN) Beats Stock Market Upswing: What Investors Need to Know
Read MoreHide Full Article
Amazon (AMZN - Free Report) ended the recent trading session at $231.43, demonstrating a +1.44% change from the preceding day's closing price. This move outpaced the S&P 500's daily gain of 0.47%. Elsewhere, the Dow gained 0.11%, while the tech-heavy Nasdaq added 0.94%.
Heading into today, shares of the online retailer had lost 1.25% over the past month, lagging the Retail-Wholesale sector's gain of 3.05% and the S&P 500's gain of 2.32%.
The investment community will be paying close attention to the earnings performance of Amazon in its upcoming release. The company is expected to report EPS of $1.57, up 9.79% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $177.86 billion, indicating a 11.95% upward movement from the same quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $6.75 per share and a revenue of $707.21 billion, representing changes of +22.06% and +10.85%, respectively, from the prior year.
Any recent changes to analyst estimates for Amazon should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.73% higher within the past month. Amazon is currently a Zacks Rank #3 (Hold).
From a valuation perspective, Amazon is currently exchanging hands at a Forward P/E ratio of 33.79. This represents a premium compared to its industry average Forward P/E of 19.7.
Also, we should mention that AMZN has a PEG ratio of 1.53. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Internet - Commerce stocks are, on average, holding a PEG ratio of 1.53 based on yesterday's closing prices.
The Internet - Commerce industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 86, positioning it in the top 35% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Amazon (AMZN) Beats Stock Market Upswing: What Investors Need to Know
Amazon (AMZN - Free Report) ended the recent trading session at $231.43, demonstrating a +1.44% change from the preceding day's closing price. This move outpaced the S&P 500's daily gain of 0.47%. Elsewhere, the Dow gained 0.11%, while the tech-heavy Nasdaq added 0.94%.
Heading into today, shares of the online retailer had lost 1.25% over the past month, lagging the Retail-Wholesale sector's gain of 3.05% and the S&P 500's gain of 2.32%.
The investment community will be paying close attention to the earnings performance of Amazon in its upcoming release. The company is expected to report EPS of $1.57, up 9.79% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $177.86 billion, indicating a 11.95% upward movement from the same quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $6.75 per share and a revenue of $707.21 billion, representing changes of +22.06% and +10.85%, respectively, from the prior year.
Any recent changes to analyst estimates for Amazon should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.73% higher within the past month. Amazon is currently a Zacks Rank #3 (Hold).
From a valuation perspective, Amazon is currently exchanging hands at a Forward P/E ratio of 33.79. This represents a premium compared to its industry average Forward P/E of 19.7.
Also, we should mention that AMZN has a PEG ratio of 1.53. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Internet - Commerce stocks are, on average, holding a PEG ratio of 1.53 based on yesterday's closing prices.
The Internet - Commerce industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 86, positioning it in the top 35% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.