Citi says Haul broadens Amazon’s appeal, remains top pick

Citi analyst Ronald Josey reiterates a Buy rating on Amazon.com (AMZN) with a $252 price target saying the beta launch of Amazon Haul – the company’s new discount storefront. Amazon now has a “lower-priced, no-frills” e-commerce experience that complements its core retail service which already offers competitively priced goods, the analyst tells investors in a research note. The firm believes Haul broadens Amazon’s appeal, noting it only sells goods $20 or less and shipping is 1-2 weeks. Citi’s pricing comparison of 10 similar products across Haul, Temu and Amazon suggests pricing on Haul is in-line with Temu and both are lower than core Amazon. The stock remains a top-pick across Citi’s coverage.