Amazon (AMZN) Can Grow at Rapid Clip for Years to Come, Predicts Top Analyst

With substantial, untapped opportunities ready for Amazon's expanding reach, Monness Crespi's Brian White bats for the bulls on this stock.


Amazon (NASDAQ:AMZN) is the arguably the best e-commerce player on the planet with the leading public cloud service platform to boot thanks to Amazon Web Services (AWS). Accordingly, top analyst Brian White at Monness Crespi is out singing the e-commerce giant’s praises as the company’s footsteps add new footholds, disrupting areas and industries along the way.

“The biggest cloud in the world keeps Amazon profitable,” underscores the analyst, who transfers coverage with a Buy rating and a $2,000 price target, which implies a close to 39% upside from current levels.

White anticipates, “Given the company’s miniscule market share in the global retail market, we believe the company can continue to grow at a rapid clip for years to come. Moreover, the company’s cloud business with AWS plays into another strong secular trend that we believe has a long runway ahead of it over the next decade. In addition, grocery and health care are large, untapped opportunities.”

Amazon’s Echo line has had a triumphant first serve in the home digital assistant arena. “Alexa is on fire,” cheers White, noting that the giant is “doubling down” after outclassing its own already “very optimistic” expectations last year for Alexa. Meanwhile, “tiny retail share provides long-term opportunity” for a giant who is in the process of transitioning to retail sails online, both on the domestic front and “especially globally.”

“For example, One Click Retail estimates that Amazon has 44% of the U.S. e-commerce market, but only 4% of the total U.S. retail market and less than 1% of the global market. Given ease of use, attractive price points, an ever growing selection of products and the time saved by ordering products on Amazon, it appears the company has a long runway of growth ahead,” contends the analyst, who calls for “healthy growth to continue.”

For this year, White expects Amazon to deliver a 31% rise in sales to $233.3 billion and a giant 86% leap in EPS to $8.45. By next year, the analyst looks for a 21% increase in revenue to $283.1 billion and a mammoth 100% jump in EPS to $16.88.

Brian White has a standout TipRanks score, between a 68% success rate and a top 100 ranking on the Street: #65 out of 4,767 analysts. In the bigger picture, White yields 15.6% in his yearly returns.

TipRanks indicates this e-commerce king has a strong bullish backing among sell-side analysts. Out of 39 analysts polled in the last 3 months, a majority of 38 bet bullish on AMZN stock with just 1 hedging his bets. With a healthy return potential of 19%, the stock’s consensus target price stands at $1,704.14.