Amazon Stock Climbs Higher on Wednesday
Why Amazon Stock Popped on Wednesday
Amazon stock has been on a bull run over the past year, climbing more than 50%. The stock continued its upward trajectory on Wednesday, adding as much as 3.45%. The surge was driven by a number of factors, including positive earnings report and upbeat comments from analysts.
Strong Earnings Report
Amazon reported strong earnings results for the fourth quarter of 2023. The company's revenue increased by 20% year-over-year to $149.2 billion, beating analysts' estimates. Amazon's net income also rose by 20% to $27.7 billion.
The strong earnings report was a sign that Amazon's business is continuing to grow at a rapid pace. The company's e-commerce segment remains a major driver of growth, but Amazon is also expanding into other areas, such as cloud computing and healthcare.
Upbeat Comments from Analysts
Following Amazon's earnings report, several analysts raised their price targets for the stock. Goldman Sachs analyst Heath Terry raised his price target from $150 to $165, while Deutsche Bank analyst Lloyd Walmsley raised his price target from $145 to $160.
The upbeat comments from analysts were another factor that helped to drive Amazon's stock higher on Wednesday. Analysts are generally positive on Amazon's long-term prospects, and they believe that the company's stock is still undervalued.
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