Amazon could be adding to its wish list just days before Christmas.
However, after six major acquisitions in 2018 including online pharmacy PillPack and home security and doorbell company Ring, Amazon may be adding to its own wish list.
As the retails sector begins to slow in anticipation of a potentially tougher 2019, D.A. Davidson's Tom Forte, one of the top Amazon analysts on Wall Street, outlined what he thinks could help boost the Bezos-led behemoth.
- For more acquisition targets in the tech space for Amazon and fellow mega-cap Alphabet (GOOGL) - Get Report , check out Real Money's Doug Kass as he touts his 2019 takeover probabilities.
"The last two quarters, while their profitability has been amazing, their sales have come in lighter than expected...I really attribute that to slower growth in their retail segment," he explained. "Historically [Amazon's] strategy historically has been to build first and buy second...I think its time for them to make an acquisition in apparel."
He added that he has seen signs that Amazon is in fact gearing up for some holiday buying.
"You are starting to see Amazon pull back some of its private label efforts in men's apparel, which suggests to me that maybe they are gearing up for M&A," he speculated.
Watch the video above for Forte's top targets for Amazon to poach.
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