Amazon Shares Will Reach $3,000 In 2 Years, Piper Jaffray Claims
Amazon stocks will gather $3,000 in roughly two years, which makes them worth almost $1.5 trillion, with no firm doing much differently than it is doing today, Piper Jaffray told customers on Friday.
“We believe Amazon shares will reach $3,000 by sometime between mid-’21 and mid-’22 or within 24-36 months.” said analysts Michael J. Olson and Yung Kim, in a report, who has an overweight rating on the stock and a current price target of $2,225.
Olson also noticed that even though he is assuming decelerating expansion in all significant Amazon industry lines and is employing conservative multiples, he comes to this eye-popping conclusion. Employing a sum-of-the-parts analysis, he finds out that the retail aspect of Amazon’s business is cheap.
Last month, Amazon reported a record profit for the first quarter but confused a few investors with a warning that operating profit for the next quarter will weaken. Even so, it’s tough to get a Wall Street who doesn’t rate the company a buy.
In case Piper Jaffray’s bullish Amazon call turns out to be appropriate, that will be good news for the faithful investors out there who think Jeff Bezos’ firm still has much to give, even following stocks have soared 2,000% more than 20 decades.
Amazon shares are up 20 percent this year and 86 percent in the last two years. The stock, somehow, Is off 11 percent from its all-time high which set its value over $1 trillion.