In its latest first-quarter results, e-commerce giant Amazon.com, Inc. (NASDAQ: AMZN) surpassed expectations and delivered impressive figures, leading to a 3.1% increase in its shares to $179. While the company reported revenues of approximately $143 billion, in line with estimates, its earnings per share (EPS) stood out by exceeding analyst predictions by 18%, reaching $0.98.

The release of these strong results prompted analysts to update their earnings models and assess the company's prospects. The latest statutory forecasts indicate that Amazon.com is expected to achieve revenues of $639.2 billion in 2024, representing an 8.2% improvement over the last year. Furthermore, per-share earnings are projected to jump by 21% to $4.40 from $4.15 previously anticipated for 2024.

Despite the positive outlook for earnings, the consensus price target remains unchanged at $215, suggesting that the improved EPS forecast might not have a substantial impact on the stock's valuation. However, the range of analyst estimates for Amazon.com's share price is relatively narrow, with the most bullish standing at $245 per share and the most bearish at $160, indicating a consistent view among market experts.

Analyzing the wider industry and historical performance, Amazon.com's revenue growth is predicted to slow down, with a projected 11% annualized growth rate until the end of 2024. This figure falls short of the company's historical 17% compound annual growth rate (CAGR) over the past five years. In comparison, other companies in the industry are expected to grow their revenues by 10% annually. Consequently, Amazon.com's forecasted growth rate aligns closely with the industry average.

The upgrade in earnings per share estimates reflects the increased optimism towards Amazon.com following its strong Q1 results. The consensus among analysts shows confidence in the company's revenue forecast, anticipating it will grow at a comparable rate to the wider industry. However, these latest estimates have not influenced the consensus price target, which remains at $215.

Considering the long-term trajectory of the company's earnings is crucial, and analysts' forecasts for Amazon.com extend to 2026. Investors can access these comprehensive projections, along with fair value estimates, risks and warnings, dividends, insider transactions, and financial health on the Simply Wall St platform.

As of now, there is no information available regarding recent stock trades by management and directors. Valuation of Amazon.com is a complex matter, and the comprehensive analysis provided by Simply Wall St aims to simplify the process for investors. The article emphasizes that it is based on historical data and analyst forecasts, striving to offer unbiased commentary driven by fundamental data rather than serving as financial advice.

Please note that the analysis may not account for the latest price-sensitive company announcements or qualitative information. Simply Wall St does not hold any positions in the stocks mentioned.

Amazon.com, Inc. operates a vast online and physical retail business across North America and globally. The company deals in consumer products, advertising, and subscription services.