Stock Update (NASDAQ:AMZN): Amazon’s Shares Slumped by 14% on Lower-than-Estimated 4Q15 Earnings

[Market Realist] – Amazon’s 4Q15 results drove a hostile market reaction and dragged shares down by 14%, despite the fact that it achieved its highest quarterly growth ever. Read more on this. Amazon.com, Inc. (AMZN) , valued at $259.95B, started the session at $570.00. A quick look at the market, the company’s stock traded between $550.12 and $571.50 with a trailing 52-week range being $358.23 to $696.44. AMZN shares are currently priced at 119.26x this year’s forecasted earnings, which makes them relatively expensive compared to the industry ’s 9.92x forward p/e ratio. According to a consensus of 36 analysts, the earnings estimate of $0.62 per share would be $0.62 worse than the year-ago quarter and a $0.22 sequential decrease. Investors should also note that the full-year EPS estimate of $4.82 is a $3.57 better when compared to the previous year’s annual results. The quarterly earnings estimate is predicated on a consensus revenue forecast of $27.92 Billion. If reported, that would be a 22.89% increase over the year-ago quarter. In terms of ratings, Susquehanna Initiated AMZN at Positive (Jan 15, 2016). Previously, Monness Crespi & Hardt downgraded AMZN from Buy to Neutral. The average price target for AMZN shares by the analysts covering the stock is $738.13, which is 29.50% above where the stock opened this morning. See more in (NASDAQ:AMZN) Similar Articles: Stock Update (NASDAQ:AMZN): How Amazon.com Inc’s Cloud Business Is Doing In 5 Numbers Company Update: Amazon.com Inc (NASDAQ:AMZN) – Amazon shares plunge as record profit still misses estimates Market Update: Amazon.com Inc (NASDAQ:AMZN) – Tech Earnings: Amazon.com Inc and Alphabet Inc Go Bonkers