ZenMode

Looking for a nice bounce of the EMA to long Amazon.

Long
NASDAQ:AMZN   Amazon.com
1.6 Trillion dollar company here.

Amazon is a near and dear company to my heart. Not only do I use their services regularly I find they deliver an exceptional client experience and have been doing that consistently for a long time. I wish nothing but good things for Bezos and his new venture and hope he finds great success being more hands on with blue origins.

This company is a growth machine. They have brilliantly mastered the flywheel effect, you can read more about that from Jim Collins latest book, and I think they have a lot more room for growth despite the gigantic size they already are.

Fundamentals for the company are stunning:
  • P/E 78.71 (For Amazon this is shockingly not too bad)
  • Employees 1,298,000 - WOW
  • P/FCF 63.21 (Yes very high)
  • Debt/Eq 0.55 (Very low)
  • Long Term Debt/Eq 0.53 (again very low, and its good to see them take advantage of low rates)
-Obviously in reading that, no one is buying Amazon as a value play. The opportunity here is in growth, and It think it is time to plan our entry as an aggressive growth play due to the following:
  • EPS this Y +81%
  • EPS past 5Y 101.8%!
  • Sales Past 5Y +29.3%
  • Sales Growth Q/Q +43%
  • EPS Q/Q +117.5%
  • ROE 27.1%

Equity Ownership
  • Insiders Own 10.6%
  • Insider Transactions over past 3 Months -1.9%
  • Institutions Own 58.7%
  • Institution Transactions -0.03%

2/10/21 ZenMode Price Target $4,000
2/3/21 UBS Price Target $4,150
2/3/21 Susquehanna Price Target $5,200
2/3/21 Stifel Price Target $4,000
2/3/21 J P Morgan Price Target $4,400
2/3/21 Goldman Price Target $4,500
2/3/21 Deutsche Bank Price Target $4,250
2/3/21 Barclays Price Target $3,860

If you found this content helpful gentleman please be sure to give it a like and a share. If you think I missed something important in the analysis please be sure to share it with me and the community to aid us in learning more!

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.