Why Amazon’s Stock Can Rise 45%
By Matthew Johnston
After a more than six-fold gain in five years many on Wall Street are wondering just how much further Amazon.com Inc. (AMZN) can rise. The answer—a lot farther, at least according to a speculative “bull case” scenario provided by analysts at Morgan Stanley. Revenues from advertising, cloud computing and the e-commerce giant’s Prime service could push the stock’s price to as high as $2,600, implying a 45% upside from Thursday’s close, according to Barron’s.
While Morgan Stanley’s price target of $1,700 is below Amazon’s current stock price, the bank’s analysts do see a way in which that price could hit the significantly more optimistic forecast of $2,600. This bull case scenario rests on a sum-of-parts valuation, valuing the company’s separate businesses on an individual basis and then adding them up to get a combined total value. At $2,600 per share, the total market capitalization would be $1.3 trillion.
Johnson & Johnson’s Breakout May Boost Stock 11%
By Michael Kramer
Johnson & Johnson’s (JNJ) shares are poised to head higher, with analysts looking for the stock to climb by over 11%. A technical analysis of the chart also suggests the stock may rise by over 7% in the coming weeks. The stock has had a tough time in 2018 with shares down by over 8% for the year and nearly 14% off their highs.
EUR/USD prints fresh weekly lows near 1.1615, Fed’s MonPol report eyed
By Dhwani Mehta
Following a brief phase of downside consolidation in Asia, EUR/USD came under heavy selling pressure in the European session, as the US dollar buying remains unabated heading towards the US macro updates and Fed’s semi-annual monetary policy (MonPol) report.
CAD Undermined by US Auto Tariff Threat. Hawkish BoC, So What?
By Daniel Dubrovsky
Canadian Dollar Fundamental Forecast: Bearish
- Canadian Dollar fell despite hawkish BoC, undermined by trade war fears
- US potentially imposing auto import tariffs could result in more CAD losses
- Local economic data still tending to underperform, CPI miss could be next
USDJPY Technical Analysis: Overbought but Moving Higher
By Nick Cawley
USDJPY continues its breakout higher as trade tensions ease for now, dragging the risk-averse JPY lower. In addition, recent strong US economic data is pushing the greenback back towards multi-month highs as the interest rate differential between the US and Japan widens further. The Japanese two-year is trading at -0.129% while the US equivalent offers 2.595%.
While fundamental analysis suggest that USDJPY will move higher, one technical indicator is flashing a warning signal and may dampen the move in the short-term.
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