Amazon.com (AMZN) Forces Ad Spend Commitments, Reit Outperform At Cowen

Cowen analyst John Blackledge reiterated an Outperform rating and $2,400.00 price target on Amazon.com (NASDAQ: AMZN) after meeting with with several consultants (and ex-AMZN employees) who advise brands
on best practices selling on AMZN and learning that the company is virtually demanding sellers acquire advertising.

The analyst stated "Our experts are now essentially mandating a certain level of AMZN ad spend in their clients' contracts. As of late last year, Amazon effectively rebranded its various ad businesses (AMG, AMS, AAP) under “Amazon advertising.” Our experts mentioned that within AMG, where AMZN manages display advertising campaigns both on and off AMZN, among other branding products, the company has introduced more entry level products at ~$10K/month with more and better tracking vs. prior entry of ~$50k/month, which is driving adoption by 3P sellers".

For an analyst ratings summary and ratings history on Amazon.com click here. For more ratings news on Amazon.com click here.

Shares of Amazon.com closed at $1840.50 yesterday.

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