Shares of Amazon.com (AMZN) - Get Amazon.com, Inc. Report were rising during Thursday morning trading after coverage of the e-commerce giant's stock was initiated at DA Davidson with a "Buy" rating and a $1,300 price target.
The firm assigned a five-year price target on Amazon at $1,800 per share.
DA Davidson analyst Tom Forte contends that Amazon is now "poised to take even more market share in the retail sector," following its $13.4 billion acquisition of health grocer Whole Foods Market. Further, Forte said the move to snatch up the grocer was necessary for Amazon to keep disrupting the retail space.
And, he expects the company's M&A plans to continue, suggesting potential targets within the grocery categories and in apparel.
Along with its expanding retail footprint, Forte is also bullish on Amazon Web Services, the company's cloud computing unit, and said both would play an integral part in sustaining revenue growth "well into the future" as it leverages AWS to "further separate its efforts from legacy retailers."
Stick with TheStreet for updated Irma coverage:
- Hurricane Irma Has Sent Airline Ticket Prices Skyrocketing
- Miami Orders Mandatory Evacuation as Hurricane Irma Bears Down on Florida
- Hurricane Irma: How Floridians Are Using Tech, Apps to Prepare for the Big Storm
- Hurricane Irma and The Waffle House Index: Why It Has Amazing Predictive Powers
- Bahamas Hyatt Hotel to Guests: If Hurricane Irma Hits, Get Out
- 5 Twitter Accounts To Follow During Hurricane Irma