Analysts from JPMorgan tip web store giant Amazon as one of the best investment ideas for 2019, mainly due to the company’s wide variety of sources of income.
In a extensive report, the analysts at the American bank substantiate their buying advice for the share, Business Insider reports.
The Amazon aandelen kopen share rose by 28% in 2018, which is more than the convenience of the wider market. Yet the rate has fallen 19% ten against the highest point ever of $ 2,050.50 in October.
“Amazon is well positioned with the most diversified income and profit streams from the major internet companies,” said chief analyst Doug Anmuth of JPMorgan. “We believe this is an important differentiator, also because the growth is moderating sector-wide.”
According to Anmuth, the company’s fastest-growing revenue streams are the most profitable, targeting Amazon Web Services and advertisements. According to JPMorgan estimates, and more than 85% of operating profit this year.
JPMorgan’s rosy outlook on Amazon’s messaging group is consistent with other analysts. Brian Wieser, analyst at Pivotal Research Group, tells clients this week that Amazon is particularly well positioned in his advertising business.
“Third force” after Google and Facebook
“With about 10% of the global total in 2023, Facebook will post in it. Google goes on Facebook Google goes Facebook of the $ 59 billion we expect from Facebook,” said Wieser.
JPMorgan also allocates growth opportunities in supermarkets (with the acquisition of Whole Foods), healthcare and pharmaceutical products (with the acquisition of Pillpack) and smart speaker technology.
Price target of $ 2100
The exchange rate target of $ 2100 at the end of the year implies an increase of almost 27% compared to the current level. Analyst Tom Forte from D.A. Davidson is according to Bloomberg the most optimistic of Amazon, with a target price of 2450 dollars.
Of the Wall Street analysts, 94% use buying advice for the share. Only one analyst has Amazon on it.