Collins Stewart Reiterates a 'Neutral' on Amazon.com (AMZN); Surprising Revenue Miss & Disappointing Guidance

Collins Stewart reiterates a 'Neutral' on Amazon.com (NASDAQ: AMZN) price target cut from $190 to $180.

Collins analyst says, "Amazon reported a mixed 4Q, with revenues of $17.4B missing consensus of $18.3B by 5%, while PF EPS of $0.68 beat consensus of $0.47 by 45%. It marks a break from Amazon's typical performance in recent quarters where it has outperformed on the top-line and underperformed on margin and earnings. 1Q revenue / PF operating income guidance of $12.0-$13.4B / $0-$300M was lower by 5%/68% at the mid-point than prior consensus of $13.4B/$470M."

"We are reducing our 2012 revenue estimate by 6% and raising PF EPS estimate by 2% to reflect the mix shift. Our price target of $180 (previously $190) is based on 55x our 2012 PF EPS of $3.27, implying 1.1x PEG."

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 $194.44 yesterday.

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