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Citi lifts its price target on Amazon.com (AMZN) to $170 from $140, noting the online retailer's...

Citi lifts its price target on Amazon.com (AMZN) to $170 from $140, noting the online retailer's ongoing obsession with innovation & customer experience; competitive moats; and Citi's double-double thesis (online sales and AMZN's share thereof could both double over the next decade). Shorts could get punished this morning. AMZN +0.5% premarket.
Comments (5)
  • Maybe AMZN should have sold C's new issue
    17 Dec 2009, 08:23 AM Reply Like
  • "Shorts could get punished this punished this morning." Is that in the CITI report?
    I figure CITI is long AMZN and they need to raise cash.
    17 Dec 2009, 08:26 AM Reply Like
  • Amzn is a terrific company. But the stock does have some tech-chart issues after breking below 130, after a large move up. The stock may be a double over the next 10 years--who knows? But if Amzn has trouble going around and through 130--I believe its a short to 110. then I would look to start buying....
    17 Dec 2009, 08:32 AM Reply Like
  • Is C playing up their own hand? AMZN is arguably overpriced at $120, but $170?!!!

     

    It's not that I don't buy into the qualitative case here. AMZN is a spectacular company with great management that has always been concerned with building long-term value. It's that at some point, you have to think the growth projections are a bit on the absurd side and with a $170 pricepoint, it's really starting to get there.

     

    I wouldn't go long on AMZN at the current price. Too much can go wrong; there's little margin for error. The one thing that would concern me as an AMZN shareholder (at the current prices) is that a major player moves into their turf and tries to take them on.

     

    The two companies that might be able to do it are Wal-Mart (WMT) and Target (TGT). Both of them already do online sales (if I'm not mistaken), but their websites are nothing compared to Amazon. But what if? What if Wal-Mart or Target decided to dedicate resources to building a complete online shopping experience in the same vein as Amazon? I don't think they'd usurp AMZN's spot as the King of Online Retail, but they might put a huge dent into some of those growth projections.

     

    I'm not saying any of this will happen. I'm just saying that it could happen. And if I were an Exec at WMT or TGT, you can bet that I would be trying to find a way to make it happen, because I want my share of the online pie, too.
    17 Dec 2009, 08:32 AM Reply Like
  • They are already there:
    online.wsj.com/article...

     

    On Dec 17 08:32 AM H.J. Huneycutt wrote:

     

    > Is C playing up their own hand? AMZN is arguably overpriced at $120,
    > but $170?!!!
    >
    > It's not that I don't buy into the qualitative case here. AMZN is
    > a spectacular company with great management that has always been
    > concerned with building long-term value. It's that at some point,
    > you have to think the growth projections are a bit on the absurd
    > side and with a $170 pricepoint, it's really starting to get there.
    >
    >
    > I wouldn't go long on AMZN at the current price. Too much can go
    > wrong; there's little margin for error. The one thing that would
    > concern me as an AMZN shareholder (at the current prices) is that
    > a major player moves into their turf and tries to take them on.
    >
    >
    > The two companies that might be able to do it are Wal-Mart (WMT)
    > and Target (TGT). Both of them already do online sales (if I'm not
    > mistaken), but their websites are nothing compared to Amazon. But
    > what if? What if Wal-Mart or Target decided to dedicate resources
    > to building a complete online shopping experience in the same vein
    > as Amazon? I don't think they'd usurp AMZN's spot as the King of
    > Online Retail, but they might put a huge dent into some of those
    > growth projections.
    >
    > I'm not saying any of this will happen. I'm just saying that it
    > could happen. And if I were an Exec at WMT or TGT, you can bet that
    > I would be trying to find a way to make it happen, because I want
    > my share of the online pie, too.
    17 Dec 2009, 08:44 AM Reply Like
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