After Amazon shares rallied to $1,300 for the first time last week, the stock of the Seattle-based company has now received numerous analysts upgrade with projections for the company’s market value hitting $800 billion within the year 2018 with the stock price target being upgraded to as much as $1,400 from previously being given a price target of $1,270.
According to various analysts, the growth outlook on the company’s focus on its customers as well as Amazon’s technology innovation leveraging in disrupting commerce, IT services, and even entertainment has led to signs of stronger and competitive advantages for the company.
Some have also commented on how these factors will allow the company to grow faster than its competitors as well as gain market share in a number of segments in the coming years.
Just recently, other analysts and financial research firms have raised their price target to $1,600 which represents a growth forecast of 23% from its closing price of $1,305.20 last Friday’s session. Amazon’s price target previously ranged from $1,200 per share.
Aside from the company’s overall business outlook, the advertising business of the company
Also last week, American financial institution JPMorgan Chase & Co stated that the e-commerce giant’s market value may hit $1 trillion soon as the company expands its offerings, operations, and ventures further this year.
Last year, the company recorded high sales and profits following a number of shopping events that took place during the year as well as a rise in the number of its Amazon Prime membership subscribers which was driven by the promotions which were rolled out by the company during the year.
Included among Amazon’s most recent ventures include reports of the company possibly entering the healthcare business as reports of the company hiring health privacy regulations experts surfaced. A number of tech companies such as Apple and Alphabet have recently been expanding its efforts in increasing its health-related applications since the past couple of months. This is expected to be incorporated in Amazon’s Web Services with previous plans of the company to promote the use of its Alexa technology in health centers or hospitals.
Currently, Amazon’s upward momentum is expected to push through in the coming months starting from its strong holiday quarter with most analysts expecting Amazon to deliver fourth-quarter earnings and revenue that will beat Wall Street expectations.
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