Amazon.com (AMZN) Growth Will Continue in 2021 for These 3 Reasons - Mizuho Securities

Mizuho Securities analyst James Lee reiterated a Buy rating and $4,000.00 price target on Amazon.com (NASDAQ: AMZN) on the belief that the company has a substantial growth opportunity into FY21 due to increased penetration of grocery, continued rebound in discretionary products and the large TAM in online pharmacy.

The analyst also sees costs coming down at the same time new initiatives accelerate. He stated "We view Amazon’s aggressive buildout plan for fulfillment centers and logistics as a leading indicator for demand of new product lines. That said, consensus FY21 revenue growth of 18% YoY appears conservative. Also, COVID-related expenses of nearly $11bn (or 3 points on OPM) in FY20 should not be recurring as vaccines become widely available, and long-term online pharmacy margins are likely accretive".

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 $3182.50 yesterday.

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