Trade Suggestion: AMZN

Fundamentals:

Amazon (AMZN) shows strong fundamental metrics, with revenue growing from $469.8 billion in 2021 to a projected $762.7 billion by 2026. In 2024, North America leads with $387.5 billion (an 11.46% increase over 3 years), followed by the International segment with $142.9 billion (3.80%), and AWS with $107.6 billion (20.03%).
By product categories, Online Stores contribute $247.0 billion (3.61% growth), Third-Party Services $156.1 billion (14.74%), and AWS again $107.6 billion (20.03%).
EPS declined from $2.09 in 2021 to a loss of -$0.246 in 2022, but recovered to $5.53 in 2024, with a forecast of $7.32 for 2026. EPS for Q4 2024 is $1.80, up from $1.01 in the same period of 2023.
The optimistic scenario is driven by AWS’s 20.03% growth, fueled by demand for cloud and AI services with high margins, alongside steady third-party service growth and EPS recovery.

Bank Target:

A striking 93.9% “Buy” rating with an average 12-month target of $239.66, representing a 25.5% potential upside from current levels.

AMZN Monthly:

Weekly:

Daily:

Technical Outlook:

• Correction of the long-term upward trend
• Sequential begins upward count on the weekly chart
• Strong engulfing bar on the weekly
• Rebound from the 50.0 Fibonacci level
• DeMarker enters overbought territory on the daily chart
• Breakout above the short-term trendline

Trade:

The price is currently in a brief consolidation phase. On a retest of the $175.00 breakout level, if a rejection forms, I will position long.
Target: $240
Stop: $163.00