Is Amazon.com, Inc. (AMZN) a BUY?

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Is Amazon.com, Inc. (AMZN) a BUY?

Amazon.com, Inc. (NASDAQ:AMZN) is a Seattle, Washington based American international electronic commerce website, as well as the largest online retailer in the world. The e-commerce website released their second quarter report on July 24th of this year and their results were very close to analysts’ expectations.  As a result, a handful of top ranked analysts’ maintained a long-term bullish outlook for Amazon, however they also lowered share price targets.

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During their Q2 results, Amazon.com, Inc. (NASDAQ:AMZN) reported -$0.24 earnings per share, missing analysts’ consensus estimate of -$0.14 by $0.10. During the same quarter last year, the company posted -$0.02 earnings per share. Amazon had revenue of $19.34 billion for the quarter, compared to analysts’ consensus estimate of $19.32 billion. The website’s quarterly proceeds were up 23.2% on a year-over-year basis. On average, analysts’ expect that Amazon will post $1.05 earnings per share for the current fiscal year.

Shares of Amazon.com, Inc. (NASDAQ:AMZN) opened at $317 on Friday, July 25. The website has a 1-year high of $408.06 and a 1-year low of $279.33. The stock’s daily moving average is $319.82 and has a 50-day moving average of $336.30. The market cap for Amazon is $149.1 billion and its P/E ratio is 505.48.

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On July 25, Cantor Fitzgerald analyst Youssef Squali maintained a BUY rating for Amazon.com, Inc. (NASDAQ:AMZN), but lowered his price target from $425 to $400. He noted, “[The company’s] operating income outlook of ($810)-($410) M is materially below consensus of ($8) M, reflecting 1) the impact from ongoing investments (including six new FCs and 15 sortation centers). 2) $100M+ for the production of video originals, 3) internal expansion, and 4) the negative impact of pricing cuts at AWS.” Squali has a +29.3% average return on all stocks and a 75% success rate in making recommendations. He also has a +14.1% average return on Amazon stock and is ranked 5 out of 3227 analysts on TipRanks.

Topeka Capital Market’s analyst Victor Anthony also reiterated a BUY for Amazon on July 25 and lowered his price target from $430 to $395. He reasoned, “This was generally an ok quarter. However, guidance for a 3Q14 operating loss of between $410mm-$810mm was significantly higher than we had anticipated.” Anthony has a +20.8% average return on all stocks and a 72% success rate in making recommendations. He also has a +4.8% average return on Amazon.com, Inc. (NASDAQ:AMZN) recommendations and is ranked 44 out of 3227 analysts on TipRanks.

Also on July 25, RBC Capital analyst Mark Mahaney maintained a BUY rating for Amazon and lowered his price target from $400 to $380. He explained, “We highly doubt that all these investments won’t pay off in the form of eventual revenue growth reacceleration and eventual margin expansion.” Mahaney has a +26.6% average return on all stocks and a 70% success rate in making recommendations. He also has a +20.0% average return on Amazon and is ranked 3 out of 3227 analysts on TipRanks.

On average, top analysts’ consensus of Amazon.com is MODERATE BUY. ?

To see all Amazon.com, Inc. (NASDAQ:AMZN) recommendation, visit TipRanks today!

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