Sage-Tips

What will Amazon stock be worth in 5 years?

Although the algorithm-based forecasting service does not provide targets for Amazon stock price in 10 years, it suggests the stock could be at $6,490.81 by November 2025. And, according to its Amazon stock forecast in 5 years to 2026, the stock could hit $7,177.35, an increase of 105\% over its current level.

Is Amazon going to grow?

Revenue in the third quarter rose 15\%, down from 37\% growth in the same period a year ago. For the fourth quarter, Amazon forecast sales between $130 billion and $140 billion, representing growth between 4\% and 12\%. Analysts surveyed by FactSet were expecting revenue to rise 13.2\% year-over-year to $142.1 billion.

Is Amazon overvalued 2021?

The Verdict: At its current price, Amazon stock appears to be overvalued based on earnings alone, but after factoring in its impressive growth numbers the stock seems appropriately valued at today’s prices.

What is Amazon’s projected growth rate?

The pandemic accelerated Amazon’s e-commerce dominance, especially in the US. A report from e-marketer shows pre-pandemic projections pinning Amazon’s US sales growth at 17\%. Instead, the Seattle-based giant delivered 44\%, causing its market share to rise from 39.8\% in 2020 to 40.4\% in 2021.

What will Amazon be worth in 2030?

Assuming Amazon’s stock still trades at about four to five times its annual revenue, the company could be worth more than $13 trillion by 2030.

Why is Amazon valued so high?

Amazon’s high stock price is primarily due to the reason that the company has a fairly small amount of outstanding shares compared to other major businesses. Of course, the stock price wouldn’t hit such high levels if the company had never gone through substantial growth over the past years.

Can Amazon continue to grow and how?

We expect Amazon’s revenues to grow by 31\% to $369 billion for 2020. Further, its net income is likely to rise to $19.5 billion, increasing its EPS figure to $38.21 in 2020. Thereafter, revenues are expected to grow further to $435.3 billion in 2021.

Is Amazon a safe investment?

The valuation of Amazon shares poses investment risk. At nearly $3,000 a share as of July 2020, Amazon is a highly speculative investment with a market cap over $1 trillion and a trailing P/E ratio of 138x earnings.

Is there still room for Amazon to grow in 2018?

Investors shouldn’t expect Amazon to stop until there’s absolutely no more room to grow. And there’s certainly still room to grow in 2018. This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service.

Is Amazon Prime still growing rapidly?

But rest assured, Amazon investors: Amazon Prime is still growing rapidly. In fact, the king of online retail just announced it added more Prime subscribers in 2017 than any other year. Of course, it got a lot of help from expanding to new international markets like India, China, Mexico, and Singapore in the last couple years.

Is Amazon’s share of the retail e-commerce market increasing?

In 2020, Amazon’s projected share of the retail e-commerce markets in the U.S. was at 47\% and is predicted to increase to 50\% in 2021. (Fortune, 2017) Amazon’s global retail e-commerce sales are expected to decrease slightly to 15.9\% or $468.87 billion in 2021. (eMarketer, 2020)

What is the market share of Amazon in the US 2021?

By 2021, Amazon is projected to reach 39.7\% in market share or $302.36 billion in U.S retail e-commerce sales (eMarketer, 2020). In 2019, U.S. e-commerce sales figures reached $602 billion.