The largest banks are betting on Amazon, and you?
2022.11.21 12:32
The largest banks are betting on Amazon, and you?
Budrigannews.com – JPMorgan examiner Doug Anmuth said Amazon (AMZN) looks “strategically set up” in a note to clients on web stocks on Monday.
“Looks well-positioned after doubling its fulfillment network and workforce since the pandemic began, while faster delivery speeds, higher in-stock levels, and earlier timing of holiday promotions should spur demand,” Anmuth stated to investors. “The e-commerce giant maintains a 40% share of the US e-commerce market.”
The analyst wrote, “Amazon remains our best idea, but it is also subject to macro headwinds, as evident in the company’s 4Q revenue outlook.”We gauge AMZN’s portion of US web based business expanded ~240bps Q/Q (Prime Day probably helped) as AMZN’s Web-based Stores developed +13% FXN Y/Y in 3Q and AMZN’s Merchant Administrations (3P) developed +23% FXN Y/Y in 3Q.”
In any case, the examiner noticed that Amazon refered to relaxing interest drifts later in the second from last quarter, and large scale tensions could burden purchaser optional spending into the final quarter.
Despite this, JPMorgan believes that Amazon will benefit from its high inventory levels during the holiday season, adding, “also has the benefit of 3P sellers.”
Anmuth went on to say, “Longer term, we continue to believe US e-comm penetration can reach 40%+ of US adj retail sales as AMZN and other retailers gain share in key under-penetrated categories such as grocery, CPG, apparel & accessories, and furniture/appliances/equipment.”
