Online shopping is the future of retail. And Amazon is the future of retail. It’s no surprise, then, that Amazon is the leader in e-commerce. Amazon’s market capitalization is nearly double that of second place retailer Walmart. It’s not hard to see why. Amazon has more than 100 million active customers and sells more than Everything. It has a Prime membership program that offers free shipping, access to video streaming and music, and other benefits. Its Alexa voice assistant gives people a reason to shop from it rather than its competitors. In the last quarter of 2018, Amazon had an excellent run. The company reported its best fourth quarter in years and forecast continued growth in new areas. As the company looks ahead to 2019, it’s worth considering how Amazon is forecasted to perform in the new year. Let’s take a look at the forecast for Amazon in the coming year and how the price of the stock may move.
How Does Amazon Stock Forecast Work?
Forecasting a stock’s price is a tricky business. There are several factors that could affect how it performs, including the economy, interest rates, and the company’s own performance and prospects. The forecast for Amazon stock also takes into account developments in the broader e-commerce and online retailing industries, as well as broader market factors, like interest rates and inflation. The price of a stock reflects supply and demand. When demand is high, prices will rise. When supply outstrips demand, the price goes down. These are just basic economic principles. You can use them to forecast the price of a stock as well as the broader market.
What’s Going to Happen in 2019 for Amazon Stock?
Amazon forecasted robust growth in 2018, and soon listed as the one of the best stocks in the market. The company said that it expects sales to increase by more than 20% in 2019. It also expects operating income to increase by more than 30%. Amazon has a number of reasons to be optimistic about its business in the new year. It has strong positions in the areas it operates in, and it has promising prospects for new areas, like groceries. Amazon’s Prime membership program is a huge driver of sales at the company. The company also has an enormous collection of products and services available to members. It’s easy for people to fall in love with its Prime membership, and Amazon is rolling out new ways to make the experience even more beneficial. It’s offering same-day delivery in select areas, and it’s expanding Prime Video to new devices.
How Much Will Amazon Stock Rise in 2023?
The company has an enormous amount of potential, and it has room to grow in new areas. Amazon has a lot of room to improve the Prime membership experience, for example. It has a growing grocery business, yet it still doesn’t sell fresh produce. It can also expand its services and products. Amazon forecasted strong growth in 2018, but it also said that it expects revenues to increase by more than 20% in 2019. Amazon could experience even more growth in 2023 than it forecasted, though. The company has an enormous amount of potential, and it has room to grow in new areas. Amazon has a lot of room to improve the Prime membership experience, for example. It has a growing grocery business, yet it still doesn’t sell fresh produce. It can also expand its services and products.
Variation in Amazon Stock Forecast
The forecast for Amazon stock varies based on a number of factors, including interest rates, e-commerce market trends, and the broader economy. For example, if gas prices rise, consumers will have less money to spend on other things. In this case, the price of Amazon stock will fall. Similarly, if Amazon runs into problems like an accounting scandal, that could cause investors to lose confidence and drive the price down. On the other hand, Amazon’s strong earnings could increase investor confidence and push the price up. Amazon forecasted strong growth in 2018, but it also said that it expects revenues to increase by more than 20% in 2019. Amazon could experience even more growth in 2019 than it forecasted, though. The company has an enormous amount of potential, and it has room to grow in new areas. Amazon has a lot of room to improve the Prime membership experience, for example. It has a growing grocery business, yet it still doesn’t sell fresh produce. It can also expand its services and products.
Conclusion
Amazon was forecasted to have great growth in 2018, but it also said that it expects revenues to increase by more than 20% in 2023. Amazon could experience even more growth in 2023 than it forecasted, though. The company has an enormous amount of potential, and it has room to grow in new areas. Amazon has a lot of room to improve the Prime membership experience, for example. It has a growing grocery business, yet it still doesn’t sell fresh produce. It can also expand its services and products. When the year is over, investors may want to give Amazon a call to thank it for another excellent year.
