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Amazon (AMZN) Expands Fire TV Portfolio With New Devices

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Amazon.com (AMZN - Free Report) has been continuously putting efforts into strengthening its Fire TV ecosystem on the back of innovative products and technologies.

This is evident from the latest introduction of two Fire TV Sticks — the all-new Fire TV Stick 4K Max and Fire TV Stick 4K.

The Fire TV Stick 4K Max, priced at $59.99, comes with Ambient Experience, which transforms the TV into a beautiful smart display and now it can turn the TV into an in-home art gallery with over 2,000 free, gallery-quality pieces of artwork.

Ambient Experience allows customers to select from motion graphics, landscape art, personalized and always-evolving dynamic art, personal photos and many more.

The Fire TV Stick 4K Max features an upgraded 2.0 GHz quad-core processor and 16 GB of storage. It also supports Wi-Fi 6E.

The new Fire TV Stick 4K, on the other hand, comes with an updated 1.7 GHz quad-core processor and supports Wi-Fi 6. It delivers a vibrant 4K Ultra HD picture quality and an immersive Dolby Atmos audio experience for under $50.

Amazon.com, Inc. Price and Consensus

 

Amazon.com, Inc. Price and Consensus

Amazon.com, Inc. price-consensus-chart | Amazon.com, Inc. Quote

More Into the Headlines

Apart from the two new streaming media players, Amazon unveiled the all-new Fire TV Soundbar, priced at $119.99. It is a two-channel companion device offering bold and room-filling sound.  This 24-inch device supports all Fire TV devices and allows connection with phones, tablets or any streaming device via Bluetooth.

The company has infused generative AI into Fire TV to offer conversational ways to discover content. With this update, users will be able to find TV shows and movies by asking Alexa open-ended questions regarding the content.

We note that this generative AI voice search feature, which will be available later this year, is expected to deliver an enhanced Fire TV experience.

Growth Prospects

The latest move is expected to help Amazon rapidly penetrate the booming streaming media player market.

Per a report from EXTRAPOLATE, the global streaming devices market will reach $62.1 billion by 2032, witnessing a CAGR of 9.1% between 2023 and 2032.

A Maximize Market Research report shows that the market is likely to hit $134.35 billion by 2029, seeing a CAGR of 15.8% between 2023 and 2029.

A Statista report indicates that the smart streaming devices market is anticipated to generate revenues worth $8.3 billion in 2023 and is expected to witness a CAGR of 9.8% from 2023 to 2028.

This report also shows that the market volume is likely to hit 284.2 million pieces by 2028.

We note that Amazon’s growing prospects in this promising market are likely to aid its financial performance, which, in turn, will instill investor optimism in the stock.

Amazon has gained 53.8% in the year-to-date period.

The Zacks Consensus Estimate for 2023 sales is pegged at $570.8 billion, indicating growth of 11.1% from 2022’s level.

Zacks Rank & Other Stocks to Consider

Currently, Amazon sports a Zacks Rank #1 (Strong Buy).

Investors interested in the broader retail-wholesale sector can consider some other top-ranked stocks like BJ’s Restaurants (BJRI - Free Report) , Domino’s Pizza (DPZ - Free Report) and Arcos Dorados (ARCO - Free Report) . BJRI currently sports a Zacks Rank #1, and DPZ and ARCO each carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

BJ’s Restaurants has lost 10.6% in the year-to-date period. The long-term earnings growth rate for BJRI is currently estimated at 15%.

Domino’s Pizza shares have gained 11.3% in the year-to-date period. DPZ’s long-term earnings growth rate is currently projected at 12.97%.

Arcos Dorados has gained 16% in the year-to-date period. The long-term earnings growth rate for DRI is currently anticipated at 11.4%.


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