In a report released yesterday, Ronald Josey from Citi reiterated a Buy rating on Amazon (AMZN – Research Report), with a price target of $275.00.
Maximize Your Portfolio with Data Driven Insights:
- Leverage the power of TipRanks' Smart Score, a data-driven tool to help you uncover top performing stocks and make informed investment decisions.
- Monitor your stock picks and compare them to top Wall Street Analysts' recommendations with Your Smart Portfolio
Ronald Josey has given his Buy rating due to a combination of factors including Amazon’s anticipated strong performance in the fourth quarter of 2024. The company is expected to exceed consensus expectations, driven by robust holiday sales, a positive online advertising climate, and increasing demand for cloud services. The projection for Amazon Web Services (AWS) indicates a 19% year-over-year revenue growth, with an emphasis on spending improvements led by generative AI initiatives.
Furthermore, the holiday eCommerce segment is anticipated to show increased demand, aided by quicker shipping times and improved conversion rates. This performance is complemented by expanding margins, improved retail conversion, and growing AWS demand, despite foreign exchange challenges. These factors collectively reinforce the Buy rating and a target price of $275, making Amazon a top pick in the internet sector.
Josey covers the Communication Services sector, focusing on stocks such as Meta Platforms, Alphabet Class A, and Zillow Group Class A. According to TipRanks, Josey has an average return of 29.0% and a 61.60% success rate on recommended stocks.
In another report released today, Bank of America Securities also maintained a Buy rating on the stock with a $255.00 price target.