The retail company is the first choice of around 51% customers for shopping online in the holiday season
Amazon.com seems to be enjoying the attention it is getting in the current holiday season, as its share price goes up on the index by 0.22% according to the last trade that took place in the stock market. The share price that was recorded by the end of the session turned out to be $665 and financial analysts believe that this increment on the index is majorly because of the interest customers are showing to shop online on the e-commerce platform. The idea of shopping online has turned out to be very popular among customers now, and this has been confirmed by a poll that was taken in November.
As per the poll results of around 3,462 adults, a massive 51% chose Amazon over every other shopping platform to carry out their shopping activities which has been taken very positively by the analysts covering the retailer’s stock. The figure in favor of shopping on the giant’s shopping space has turned out to be colossal as compared to the percentage of customers who have chosen other retailers on the poll. A report by Reuters suggests that only 2% choose to shop at Macy’s while, 3% of the people wish to shop at Target. As for shoppers at Walmart, the percentage of customers who choose it over other options came around 16% only.
The results that have been attained by the poll clearly showed the dominance online retail companies have in the industry as more and more customers choose to stay at home and get all their shopping done without stepping out of their homes. Even though reports show that all the retail companies have been making efforts to bring back customers to shopping physically by visiting the retail stores and not just on the internet, but Reuters believes that all such attempts seem to be failing badly without budging the customers at any point.
However, analysts at the Street are of the opinion that Amazon stock value presently deserves a ‘hold’ rating and with that the giant has been presented with a ‘C’ score on the stock. The reasons given by the analysts to support such a rating are the mixed business activities being done by the company, in which some are radiating positivity for the short term future while some of them might not be as fruitful for the stock. The strength relies in the growing net income of the retail giant whereas the disappointments have been in the cash returns on equity that have been lower than expected.