Financial Trading Blog
Stock of the day 26/04/2016 – Amazon.com Inc
To say Amazon had a strong 2015 is a gross understatement; the stock managed to surge from a starting price of $312.35 (following a disappointing 2014) to $676.15 by the year’s close, a smidge below its all-time peak of $696.41.
Yet from this heady high Amazon saw a rather ugly drop at the start of 2016. Plunging below $600 as January came to a close, things were made all the worse by the company’s fourth quarter report. Amazon revealed earnings per share of $1 (a record for the company) off $35.75 billion in revenue, a rather marked drop from the $1.56 and $35.93 billion respectively expected by analysts. That earnings miss was the main fuel for Amazon’s post-results fall, the stock eventually hitting a 4 and a half month low of $474.29 by the start of February.
(Source: IT-Finance.com 26/04/2016)
However since then Amazon has seen a fairly healthy recovery, helped by the news that it was partnering with Morrisons as it expands its UK ‘Pantry’ service AND that customers could now buy a monthly subscription to the company’s Netflix-challenging Prime Video service. Amazon.com sits at a current trading price of $626.31 (IT-Finance.com, 26/04/2016).
In terms of Amazon’s figures on Thursday, analysts are expecting a 23% jump in revenue to $27.75 billion, with an even more impressive increase in earnings per share, from a loss of 12 cents at this point last year to 58 cents for Q1 2016.
Amazon.com Inc has a consensus rating of ‘Buy’ with an average target price of $728.22.
It's easy to open an account
- Fill in our simple online application form
- Fund your account
- Start trading the global markets instantly!
SEARCH FOR AN ARTICLE:
Enter a keyword and search for all relevant articlesMARKET ANALYSIS
RECENT POSTS
DISCLAIMER
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 64% of retail investors lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money. For professional clients, spread betting and CFD trading can also result in losses larger than your initial stake or deposit.
Spreadex Ltd is authorised and regulated by the Financial Conduct Authority, provides an execution only service and does not provide advice in any way. Nothing within this update should be deemed to constitute the provision of investment advice, recommendations, any other professional advice in any way, or a record of our trading prices. This update does not constitute or form part of an offer of, or solicitation for a transaction in any financial instrument, nor shall it or the fact of its distribution form the basis of, or be relied on in connection with, any contract therefore. Any persons placing trades based on their interpretation of the comments or information within this update does so entirely at their own risk.
No representation, warranty, or undertaking, express or limited, is given as to the accuracy or completeness of the information or opinions contained within this update by Spreadex Ltd or any of its employees and no liability is accepted by such persons for the accuracy or completeness of any such information or opinions. As such, no reliance may be placed for any purpose on the information and opinions contained within this update.
The information contained within this update is the intellectual property of Spreadex Ltd and is protected by UK and International copyright laws. All rights reserved. Users may however freely download, distribute and reproduce extracts of the contents, subject always to accrediting Spreadex Ltd as the source and providing a hyperlink to www.spreadex.com.
