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Amazon (AMZN) Stock Sinks As Market Gains: What You Should Know
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In the latest market close, Amazon (AMZN - Free Report) reached $147.42, with a -0.95% movement compared to the previous day. This move lagged the S&P 500's daily gain of 0.27%. Elsewhere, the Dow saw an upswing of 0.43%, while the tech-heavy Nasdaq appreciated by 0.19%.
Shares of the online retailer have appreciated by 3.94% over the course of the past month, underperforming the Retail-Wholesale sector's gain of 6.95% and the S&P 500's gain of 6.94%.
Analysts and investors alike will be keeping a close eye on the performance of Amazon in its upcoming earnings disclosure. The company is predicted to post an EPS of $0.78, indicating a 271.43% growth compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $165.93 billion, up 11.21% from the prior-year quarter.
AMZN's full-year Zacks Consensus Estimates are calling for earnings of $2.67 per share and revenue of $570.75 billion. These results would represent year-over-year changes of +276.06% and +11.04%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for Amazon. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 0.22% rise in the Zacks Consensus EPS estimate. At present, Amazon boasts a Zacks Rank of #2 (Buy).
In the context of valuation, Amazon is at present trading with a Forward P/E ratio of 55.71. This valuation marks a premium compared to its industry's average Forward P/E of 21.81.
It's also important to note that AMZN currently trades at a PEG ratio of 1.95. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Internet - Commerce industry had an average PEG ratio of 0.61.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 33, finds itself in the top 14% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Amazon (AMZN) Stock Sinks As Market Gains: What You Should Know
In the latest market close, Amazon (AMZN - Free Report) reached $147.42, with a -0.95% movement compared to the previous day. This move lagged the S&P 500's daily gain of 0.27%. Elsewhere, the Dow saw an upswing of 0.43%, while the tech-heavy Nasdaq appreciated by 0.19%.
Shares of the online retailer have appreciated by 3.94% over the course of the past month, underperforming the Retail-Wholesale sector's gain of 6.95% and the S&P 500's gain of 6.94%.
Analysts and investors alike will be keeping a close eye on the performance of Amazon in its upcoming earnings disclosure. The company is predicted to post an EPS of $0.78, indicating a 271.43% growth compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $165.93 billion, up 11.21% from the prior-year quarter.
AMZN's full-year Zacks Consensus Estimates are calling for earnings of $2.67 per share and revenue of $570.75 billion. These results would represent year-over-year changes of +276.06% and +11.04%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for Amazon. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 0.22% rise in the Zacks Consensus EPS estimate. At present, Amazon boasts a Zacks Rank of #2 (Buy).
In the context of valuation, Amazon is at present trading with a Forward P/E ratio of 55.71. This valuation marks a premium compared to its industry's average Forward P/E of 21.81.
It's also important to note that AMZN currently trades at a PEG ratio of 1.95. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Internet - Commerce industry had an average PEG ratio of 0.61.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 33, finds itself in the top 14% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.