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The most recent trading session ended with Amazon (AMZN) standing at $182.13, reflecting a -1.48% shift from the previouse trading day's closing. The stock's performance was behind the S&P 500's daily gain of 0.79%. On the other hand, the Dow registered a gain of 0.78%, and the technology-centric Nasdaq increased by 0.64%.
The the stock of online retailer has fallen by 6.61% in the past month, lagging the Retail-Wholesale sector's loss of 3.65% and the S&P 500's loss of 3.56%.
Market participants will be closely following the financial results of Amazon in its upcoming release. It is anticipated that the company will report an EPS of $1.37, marking a 21.24% rise compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $154.64 billion, up 7.9% from the prior-year quarter.
AMZN's full-year Zacks Consensus Estimates are calling for earnings of $6.25 per share and revenue of $694.54 billion. These results would represent year-over-year changes of +13.02% and +8.87%, respectively.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Amazon. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.06% lower. Amazon currently has a Zacks Rank of #3 (Hold).
In the context of valuation, Amazon is at present trading with a Forward P/E ratio of 29.56. This represents a premium compared to its industry's average Forward P/E of 22.17.
Meanwhile, AMZN's PEG ratio is currently 1.33. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As the market closed yesterday, the Internet - Commerce industry was having an average PEG ratio of 1.33.
The Internet - Commerce industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 64, placing it within the top 26% of over 250 industries.