Last December, the Indian government published a circular that prohibits Amazon and Flipkart from selling a companies' products if they have an equity stake in the company. This restriction may affect Amazon’s business in India, which is one of world’s fastest growing economies. Amazon's e-commerce presence in the country is at a nascent stage, and the region has huge growth potential.
According to global consultancy firm PWC, India's e-commerce market is expected to cross the $100 billion mark by 2022, with online retail and travel holding more than a 90% share.
Amazon has already invested roughly $5 billion in the market and plans to pour in an additional $2 billion into its Indian wing. It has also acquired stake in India’s offline space, with the acquisition of equity stakes in retail chains like More and Shoppers Stop.
In the short term, the new law has some impact on all online retailers as uncertainty over scope and enforcement looms.
However, analysts predict the restrictions won't have any ‘earth shattering’ effects on the company in the long run, as Amazon is expected to come up with an alternative business model. With the amount of foreign investments online players like Amazon and Walmart (WMT) bring in the sector, the Indian government is expected to relax some of the regulations with time.
The Moving Average Convergence Divergence (MACD) for AMZN turned positive on March 01, 2024. Looking at past instances where AMZN's MACD turned positive, the stock continued to rise in of 49 cases over the following month. The odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on February 22, 2024. You may want to consider a long position or call options on AMZN as a result. In of 78 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where AMZN advanced for three days, in of 339 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 286 cases where AMZN Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The 10-day RSI Indicator for AMZN moved out of overbought territory on March 04, 2024. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 45 similar instances where the indicator moved out of overbought territory. In of the 45 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 6 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AMZN declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
AMZN broke above its upper Bollinger Band on February 02, 2024. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. AMZN’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 92, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (9.132) is normal, around the industry mean (17.819). P/E Ratio (61.214) is within average values for comparable stocks, (75.936). Projected Growth (PEG Ratio) (2.400) is also within normal values, averaging (3.375). Dividend Yield (0.000) settles around the average of (0.031) among similar stocks. P/S Ratio (3.240) is also within normal values, averaging (4.219).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a provider of on-line retail shopping services
A.I.dvisor indicates that over the last year, AMZN has been loosely correlated with CVNA. These tickers have moved in lockstep 48% of the time. This A.I.-generated data suggests there is some statistical probability that if AMZN jumps, then CVNA could also see price increases.