Every week, Benzinga conducts a sentiment survey to find out what traders are most excited about, interested in or thinking about as they manage and build their personal portfolios.
We surveyed a group of over 500 investors on whether shares of Amazon.com, Inc. AMZN will reach $4,000 by 2022.
Amazon Stock Forecast
As one of the world’s highest-grossing e-commerce platforms, Amazon is more than retail services alone: streams of revenue for the tech giant also include Kindle, Audible and Music subscriptions as well as its IT service management subsidiary AWS.
To get a sense for Amazon’s revenue streams: online product and digital media sales comprised 50% of net revenue for the entirety of 2019, followed by commissions, related fulfillment and shipping fees and other third-party seller services (19%).
Next in revenue sources is Amazon Web Services' cloud computing, storage and database services (13%). Prime membership fees and other subscription-based services (7%), product sales at Whole Foods and other physical store retail formats (6%) and advertising services and co-branded credit cards (5%) round out Amazon's revenue streams.
Seventy-two percent of Benzinga traders and investors told us Amazon would reach $4,000 per share by the end of next year.
Traders and investors who participated in our study said shares of Amazon will see strength through 2021 given heightened demand for e-commerce products and services post-pandemic.
Many respondents shared that they see Amazon as a tech company first and foremost.
In their view, the company’s impressive diversification of revenue streams by means of subscription services like Amazon Prime; digital streaming; as well as AWS cloud computing platforms for businesses will help ensure shares of the FAANG stock reach at least $4,000 by 2022.
See Also: How To Buy Amazon Stock.
This survey was conducted by Benzinga in December 2020 and included the responses of a diverse population of adults 18 or older.
Opting into the survey was completely voluntary, with no incentives offered to potential respondents. The study reflects results from over 500 adults.
Photo courtesy of Amazon.
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