Bernstein’s Carlos Kirjner is out with a report this morning reiterating an ‘Outperform’ rating on AMZN stock and raising ticker’s price target to $1,000 from $770, saying the e-commerce giant’s increase in the rate of profit over the next two years is likely to be much faster than the previous two years.
The note appears to be moving investors to the bullish side this morning, leading to Amazon.com, Inc. (AMZN) shares currently trading at $693.75, 14 points higher from the prior days close of $679.75. On pre-market basis they have gotten as high as $696 a share.
On valuation measures, AMZN is currently priced at 543.80x this year’s forecasted earnings, which makes the name quite expensive compared to the industry’s 13.47x earnings multiple. The company’s current year and next year EPS growth estimates stand at 326.40% and 82.60%, compared to the industry growth rates of 9.80% and 19.10%, respectively. AMZN has a t-12 price/sales ratio of 2.97. EPS for the same period registers at 1.25.
Amazon’s shares have advanced 14.32% in the last 4 weeks and 39.26% in the past three months. Over the past 5 trading sessions the stock has lost 0.60%. The $320.73 billion market cap Seattle, WA-based company has a median Street price target of $800.00 with a high target of $915.00.
AMZN is up 56.74% year-over-year and 0.57% year-to-date.