5 Stocks to Buy Before Their Earnings Reports

4. Amazon.com, Inc. (NASDAQ:AMZN)

Number of Hedge Fund Holders: 271

Earnings Announcement Date: July 28 

Amazon.com, Inc. (NASDAQ:AMZN) is a Seattle, Washington-based technology giant primarily involved in cloud computing and e-commerce.

Brent Thill at Jefferies thinks that Amazon.com, Inc. (NASDAQ:AMZN) stock price is set to outperform the market and industry peers in the second half of the year due to acceleration in revenue growth and improvement in the bottom line. However, due to tougher comparatives from the same period last year and rising inflation, the company’s net income for Q2 2022 is facing an overhang. Any possible downward revision in Q3 operating income guidance would be a clearing event and the last guide-down. The analyst has given Amazon.com, Inc. (NASDAQ:AMZN) stock a target price of $150 with a Buy rating due to solid business fundamentals.

Amazon.com, Inc. (NASDAQ:AMZN) was mentioned in the Q1 2022 investor letter of Diamond Hill Capital. Here’s what the firm said about the company:

Amazon, one of the leading providers of public cloud services and online retailing, is a rapidly growing business that has been investing heavily in infrastructure and content to improve its customer experience. These investments have obscured the magnitude of sustainable free cash flow as well as the attractive valuation of the business relative to peers.”

Amazon.com, Inc. (NASDAQ:AMZN) was held by 271 hedge funds at the end of Q1 2022.