Wedbush Remains Bullish on Amazon.com (AMZN) Following 3Q
- Record-setting rally pushes on as S&P ends week up 3 percent
- Trump's Cohn Pick Most Bullish Sign Yet for Banks - Cowen
- Unusual 11 Mid-Day Movers: (IDXG) (INVN) (EBS) Higher; (SCON) (DTEA) (DLTH) Lower (more...)
- 21st Century Fox (FOXA) offers to acquire Sky for GBP10.75/share
- Coca Cola (KO) Announces James Quincey to Succeed Muhtar Kent as CEO; Kent to Continue as Chairman
News and research before you hear about it on CNBC and others. Claim your 2-week free trial to StreetInsider Premium here.
Wedbush reiterated an Outperform rating and $900.00 price target on Amazon.com (NASDAQ: AMZN) following the company's 3Q earnings report. Revenue was $32.71 billion vs. the consensus of $32.69 billion, and guidance of $31.0 – 33.5 billion. EPS was $0.52 vs. the consensus of $0.78. 2016 EPS estimate were reduced to $5.06 from $6.00 prior, and operating income to $1.26 billion from $1.45 billion, to reflect Q3 results.
Analyst Michael Pachter commented, "Despite disappointing earnings and guidance, Amazon is still delivering substantial earnings growth. While the outlook for FY:16 has been tempered, the company’s outsized earnings beats in 1H:16 and still meaningful y-o-y EPS growth in Q3 are a signal that Amazon remains focused on growing profits despite the quarterly variability. Amazon Web Services’ (“AWS”) gross and operating margins have grown as revenues continue to ramp, the mix of Fulfillment by Amazon (“FBA”) and AWS is likely to drive further gross margin expansion, and Prime membership growth has continued unabated. We expect the monthly Prime subscription offering to bolster the number of Prime customers seasonally, particularly around the holidays, and although gross margin expansion is being offset by its increased video content spending, the trajectory is clear and investment strategy purposeful."
Shares of Amazon.com closed at $818.36 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- MKM Partners Raises Price Target on Finisar (FNSR) to $43 Following 2Q
- MKM Partners Raises Price Target on Hartford Financial (HIG) to $55
- Pivotal Research Upgrades Flowers Foods (FLO) to Hold
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst EPS Change, Analyst EPS View
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!