[ad_1]

After Amazon, Inc.’s (NASDAQ:AMZN) first-quarter results, Deepwater Asset Management’s Gene Munster weighed in on the results and the near-term stock outlook.

Calling Amazon a “great company,” Munster said Deepwater, a fund management firm he co-founded, does not own Amazon stock. There are other companies to own to gain outperformance, he added.

He, however, sees things changing by the middle of the year. “What keeps me up at night not owning AMZN: The company’s growth rates should start to improve in the back half of this year,” he said.

ENTER TO WIN $500 IN STOCK OR CRYPTO

Enter your email and you’ll also get Benzinga’s ultimate morning update AND a free $30 gift card and more!

“This is a setup for the stock to act better mid this year,” he added.

Munster also delved into the weak AWS performance. Management commentary that the cloud business is tracking down 500 basis points in April suggests 11% growth for AWS in the June quarter, the tech analyst said. This would mean the company could undershoot the Street estimate for 11% growth, he added.

Options 101: The Beginner’s Guide

Want to become an options master? In his free report, options expert Nic Chahine will give you access to the four bulletproof tips for beginners, the secret to scoring 511% gains with options, and his time-tested “plan” for success. Grab your free copy of Options 101: The Beginner’s Guide ASAP.

“If that holds for the quarter, AWS growth will slow for 7 consecutive quarters.”

In premarket trading on Friday, Amazon shares shed 1.66% to $108, according to Benzinga Pro data

See Also: Everything You Need To Know About Amazon Stock

© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

[ad_2]

Source link