Analysts rate Amazon.com Inc(AMZN:NSD) with a consensus Strong Buy.

STA Research
by: STA Research
amzn stock price

Analysts rate Amazon.com Inc with a consensus Strong Buy and a  12-month average price target of $188.22.  Analysts have adjusted the target forecasts due to the recent stock split, which gave shareholders 20 stocks for 1.

Based on the Amazon.com Inc stock forecasts from 10 analysts, the average analyst target price for Amazon.com Inc is USD 188.20 over the next 12 months. Amazon.com Inc’s average analyst rating is Strong Buy. Stock Target Advisor’s own stock analysis of Amazon.com Inc is Slightly Bullish , which is based on 9 positive signals and 4 negative signals. At the last closing, Amazon.com Inc’s stock price was USD 113.76Amazon.com Inc’s stock price has changed by +1.80% over the past week, +7.10% over the past month and -36.33% over the last year.

What we like:

High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Superior risk adjusted returns

This stock has performed well, on a risk adjusted basis, compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile.

Low volatility

The stock’s annual returns have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

Superior return on equity

The company management has delivered better return on equity in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior capital utilization

The company management has delivered better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Low debt

The company is less leveraged than its peers ,, and is among the top quartile, which makes it more flexible. However, do check the news and look at its sector. Sometimes this is low because the company is not growing and has no growth potential.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Superior Earnings Growth

This stock has shown top quartile earnings growth in the previous 5 years compared to its sector.

What we don’t like:

Overpriced compared to earnings

The stock is trading high compared to its peers on a price to earning basis and is above the sector median.

Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

Overpriced on cashflow basis

The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Overpriced on free cash flow basis

The stock is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Disclaimer

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