Amazon Analyst Names 4 Key Pillars Supporting Advertising Opportunity in 2024
Portfolio Pulse from Surbhi Jain
Wedbush analyst Scott Devitt has a positive outlook on Amazon.com, Inc. (NASDAQ:AMZN), with an Outperform rating and a raised price target from $180 to $210. Amazon's stock has risen 78% YTD as of Dec. 21, 2023. Devitt expects Amazon to generate $46.5 billion in advertising revenue in 2023 and sees potential for growth in digital advertising. He identifies four key pillars supporting Amazon's advertising opportunities: retail media tailwinds, growth in CTV and video ad formats, off-platform ad sales, and adoption by non-endemic advertisers. Wedbush also forecasts $100B+ in AWS revenue by 2024, $100B+ in free cash flow by 2026, and $100B in advertising revenue by 2028.
December 21, 2023 | 6:09 pm
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POSITIVE IMPACT
Wedbush analyst Scott Devitt is optimistic about Amazon's advertising revenue potential, raising the stock's price target from $180 to $210. Amazon's stock has already seen significant growth this year, and the company is expected to continue expanding its share of the digital advertising market.
The positive analyst rating and raised price target by Wedbush reflect a strong confidence in Amazon's future revenue growth, particularly in advertising. This is likely to be viewed positively by investors, potentially leading to a short-term increase in stock price. The significant YTD growth already observed, along with the optimistic revenue forecasts, support a positive short-term impact on the stock.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100