In the latest close session, Amazon (AMZN) was up +2.63% at $244.68. This move outpaced the S&P 500's daily gain of 0.41%. Elsewhere, the Dow saw a downswing of 0.83%, while the tech-heavy Nasdaq appreciated by 0.91%.
Shares of the online retailer witnessed a gain of 2.74% over the previous month, trailing the performance of the Retail-Wholesale sector with its gain of 4.12%, and outperforming the S&P 500's gain of 0.38%.
Analysts and investors alike will be keeping a close eye on the performance of Amazon in its upcoming earnings disclosure. The company's earnings report is set to go public on February 5, 2026. It is anticipated that the company will report an EPS of $1.97, marking a 5.91% rise compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $211.51 billion, showing a 12.63% escalation compared to the year-ago quarter.
AMZN's full-year Zacks Consensus Estimates are calling for earnings of $7.17 per share and revenue of $714.98 billion. These results would represent year-over-year changes of +29.66% and 0%, respectively.
Investors might also notice recent changes to analyst estimates for Amazon. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.23% upward. Amazon currently has a Zacks Rank of #2 (Buy).
In terms of valuation, Amazon is presently being traded at a Forward P/E ratio of 30.3. This denotes a premium relative to the industry average Forward P/E of 17.25.
Meanwhile, AMZN's PEG ratio is currently 1.49. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Internet - Commerce industry had an average PEG ratio of 1.14.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 188, finds itself in the bottom 24% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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Amazon.com, Inc. (AMZN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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