NEW YORK (TheStreet) -- Amazon.com (AMZN) - Get Report stock is up 0.42% to $557.56 in late morning trading Monday after the company announced a supply agreement with British supermarket company WM Morrison Supermarkets.
As part of the agreement, Morrisons' products will be available to Amazon Prime Now and AmazonPantry customers, Morrisons said in a statement. Terms of the deal were not disclosed.
The agreement could be the beginning of a wave of "creative destruction" in the grocery business, Growth Seeker's Chris Versace and Lenore Elle Hawkins wrote in an article today. Companies such as Alphabet (GOOGL) are also targeting the grocery business.
"We see the move as Amazon delivering on its stated strategy of growing the reach of the Prime services that have launched in the U.S. as part of its plans to expand its geographic footprint," Versace and Hawkins said. "This fits with our Connected Society view that customers are and will increasingly shift their buying online and to mobile from bricks-and-mortar, especially as time to customer speeds up."
Separately, recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
TheStreet Ratings rates this stock as a "hold" with a ratings score of C. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, compelling growth in net income and robust revenue growth. However, as a counter to these strengths, we find that the company has favored debt over equity in the management of its balance sheet.
You can view the full analysis from the report here: AMZN