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  5. AMZN: What would be ideal entry points for these two stocks? [Amazon.com Inc.]
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Q: What would be ideal entry points for these two stocks?

Thanks, as always.
Joanne
Asked by Joanne on April 11, 2024
5i Research Answer:

AMZN is trading at 20.4x EV/EBITDA, historical averages in the last few years range from 15.2x to 31x, while operating earnings and cash flow are expected to grow significantly this year due to the company’s cost control initiatives. We think it does not look very expensive from here, below $185 could be attractive entry point, but we would be willing to add aggressively if it drops below $170.

DOL is trading at 28.3x Forward P/E, historical averages in the last few years range from 19x to 28.5x. DOL is trading at the higher end of historical averages given its solid execution over the years. We would not be too aggressive buying here but would be okay to add if it drops to $105 (CDN).

Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in AMZN.