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AMZN Stock Forecast: Predicting Amazon’s Performance in 2023 and Beyond

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  • Amazon (AMZN) is indirectly benefiting from big-box retailers’ theft problem.
  • Furthermore, Amazon is delving into the business of car delivery.
  • Investors should strongly consider holding at least a few shares of AMZN stock.
AMZN stock Amazon - AMZN Stock Forecast: Predicting Amazon’s Performance in 2023 and Beyond

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How much further can Amazon (NASDAQ:AMZN) stock run in 2023 and 2024? This “Magnificent Seven” member is a true juggernaut, entering into and succeeding in one market niche after another. So, expect Amazon stock to continue providing excellent value and don’t let an opportunity to invest in the “best of the best” pass you by.

The right question to ask isn’t, “What business is Amazon involved in?” Rather, the right question is, “What business isn’t Amazon involved in?” The company has come a long way, both inside and outside of its core e-commerce platform. Looking ahead to a new year, consider Amazon’s growth story and value proposition, and think about joining the winning team with AMZN stock.

Could Retail Theft Actually Give AMZN Stock a Boost?

Theft in big-box retail chain stores, sometimes also known as “shrink,” is an unfortunate problem. No one should celebrate retail theft or shoplifting. However a Bloomberg report suggests that Amazon could benefit from this regrettable phenomenon.

Unlike big-box bricks-and-mortar retail stores, Amazon doesn’t have to lock its products up in order to prevent shoplifting. That’s a natural advantage of Amazon being an online business.

The Bloomberg report observes customers’ frustration at having to deal with locked-up items, such as personal health and beauty products. A result of this is that Amazon is enjoying a surge in online sales of these items.

The retail theft problem has gotten so bad that stores are even locking up items that cost less than $10 nowadays. This is a source of annoyance for come customers, however.

In fact, 60% of surveyed participants “said locked merchandise was either inconvenient or very inconvenient,” per the Loss Prevention Research Council and Bloomberg.

Evidently, this source of frustration is a major problem for physical stores, but it’s driving shoppers to Amazon, where the products aren’t locked up to prevent shoplifting.

Amazon Ventures Into Yet Another Potentially Lucrative Market

Amazon is already generating revenue from prescription delivery, grocery sales and an array of other market niches. Yet, the company still seeks to enter into and potentially conquer more business sectors.

In a recent example of this, Amazon and automaker Hyundai Motor (OTCMKTS:HYMTF) announced that they’re working together to launch online vehicle sales in the U.S. next year. The skeptics might question whether people will buy cars on Amazon, but why not? Plenty of shoppers have already searched for and purchased automobiles online.

As usual, Amazon is making the browsing and buying experience as convenient as possible for shoppers. The customers, according to the press release, will be able to “purchase a new car online, and then pick it up or have it delivered by their local dealership at a time that works best for them.”

It’s probably inevitable that other automakers besides Hyundai will also offer their vehicles for purchase through Amazon. This could be just the beginning of a much bigger trend. Just imagine major automakers fiercely vying for Amazon customers’ attention and capital. This could be a reality in a matter of years or even months.

Look for the Amazon Stock Rally to Persist in 2024

Is it possible to build an entire portfolio of winners in various market segments? If so, Amazon stock would have to be on that list. Indeed, Amazon is highly successful in multiple market niches, and the company only seems to grow bigger over time.

So, if you really want to stick with the best and ignore the runner-ups, conduct your due diligence on Amazon. Then, consider a long position in AMZN stock, which gets an easy “A” grade and is appropriate for most portfolios.

On the date of publication, neither Louis Navellier nor the InvestorPlace Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article.


Article printed from InvestorPlace Media, https://investorplace.com/market360/2023/11/amzn-stock-forecast-predicting-amazons-performance-in-2023-and-beyond/.

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