Amazon.com, Inc. (AMZN) Could Have Scooped Up to 50% of All E-Commerce Black Friday Sales

GBH Insights' Daniel Ives anticipates AMZN is poised to deliver around half of domestic e-commerce sales for this year's holiday season after a stronger than expected Black Friday performance.


GBH Insights analyst Daniel Ives is out with a positive research note on Amazon.com, Inc. (NASDAQ:AMZN) on back of survey work coupled with e-commerce trend analysis following what looks to be “an ‘eye-popping’ Black Friday sales performance.” Of all e-commerce Black Friday sales, Ives bets Amazon took up 45% to 50% of the revenue, which not only means the company kicked off the holiday season “with a bang,” but likewise “bodes well” for a fourth quarter showcase.

As such, the analyst reiterates a Highly Attractive rating on AMZN stock with a $1,270 price target, which represents a 6% increase from current levels. (To watch Ives’ track record, click here)

Ives asserts, “With e-commerce Black Friday sales on a trajectory to increase roughly 18% year over year, these are very positive data points heading into Cyber Monday and the rest of holiday season for Amazon (and its investors). We believe the average Prime customer is forecasted to spend between roughly 20%-25% more this holiday season than the year ago period, coupled by major growth in US/International Prime members, should be setting the stage for a game changer holiday season for Bezos & Co. With our estimates forecasting overall ecommerce growth rising 20% year over year for holiday season and Amazon set to comprise roughly half of US e-commerce holiday sales this year, it appears Amazon has significant momentum heading into year-end and could beat the Street’s 4Q top-line estimate by 5% if these projections prove out (off to a great start based on our initial analysis from Black Friday).”

With sales more robust than anticipated weighing in Amazon’s favor, ahead of what Ives angles as a fourth quarter outperformance, the analyst continues to stand by the online auction and e-commerce leader as one of his “top picks.”

Amazon reigns as a Wall Street e-commerce darling, earning one of the strongest analyst consensus ratings on the Street. TipRanks analytics demonstrate AMZN as a Strong Buy. Based on 32 analysts polled by TipRanks in the last 3 months, 31 rate a Buy on Amazon stock while 1 maintains a Hold. The 12-month average price target stands at $1,257.72, marking a 5% upside from where the stock is currently trading.

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