Home / Street Sector / Amazon.com, Inc. (NASDAQ:AMZN) Faces Lower Market Share than Target (TGT) And Wal-Mart; Survey

Amazon.com, Inc. (NASDAQ:AMZN) Faces Lower Market Share than Target (TGT) And Wal-Mart; Survey

Shares of Amazon.com, Inc. (NASDAQ:AMZN) slightly up around 1% to trade at $626.56 on last seen at 1:56PM EDT as a monthly consumer survey performed by Cowen Research found that Amazon (AMZN) reduce deeper into Target (NYSE:TGT) and Wal-Mart’s (NYSE:WMT) and market share in grocery/consumables category. The e-commerce giant presented 18 percent year-over-year growth, as sales at both Wal-Mart and Target fell back from a year before.

The attack of Amazon into groceries has drive retail chains toward innovation. Wal-Mart is enabling its new free curbside grocery pickup service on 2016, while Target is experimenting with a radical new program to charge for produce by freshness not weight.

Mighty e-commerce giant, Amazon.com (AMZN) reported that it would fall well short of Wall Street’s first quarter earnings anticipates, at least one analyst predicts. Wedbush analyst Michael Pachter, though, anticipates sales to beat view, he said in a research note Wednesday. The company is slated to report Q1 earnings after the close Thursday. Pachter forecasts earnings per share minus items of 45 cents. That would swing from a 12-cent loss in the year-earlier quarter, but analysts polled by Thomson Reuters have modeled EPS ex items of 58 cents. Patcher says a current letter Amazon CEO Jeff Bezos sent to shareholders proposes that firm is going to continue to “invest in growth” beyond what Wall Street is expecting.

On the other side, eBay Inc. (NASDAQ:EBAY) contain been range-bound ever since firm spun off its payment platform PayPal Holdings, Inc. (PYPL) into a separate entity. Ahead of eBay’s first quarter earnings results Tuesday, investors want reasons to bet on the company long term. And so far, eBay hasn’t shown any signs that it’s worth any offers.

Whereas, share eBay repurchases and product optimization to drive value higher and it produced approximately $2B+ FCF, giving it ability to retire at rate of 6-8% of common stock per year. EBAY currently trades at 13x P/E, giving a long-term investor an attractive entry point. The company’s product optimization initiatives and enhanced user experience should drive increased adoption.  Logistic partnerships remove a major pain point among sellers.

EBAY singed a partnership deal with Shyp to make it easy for sellers to ship items sold. In a current press release, firm released expansion of its alliances with Shyp into Los Angeles. Initial pilots were held in New York, Chicago, and San Francisco. Here is how it works. “Once an item is sold, Shyp can pick up from the seller within 20 min, professionally pack the item, and ship it on behalf of the seller.

About Blake Escott

Blake Escott holds junior writer position in SWR. Before joining Streetwise Report, he was a freelance content Writer. He has high-level copywriting experience and particularly experienced in proofreading and editing. He covers news about different companies including all US market sectors. Interests: Commodities, Energy stocks, Sector-wise Stocks analysis, Utilities

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