Amazon (NASDAQ:AMZN) is the latest stock to hit a $2 trillion market cap and it has been gaining momentum recently. In the past three months, the stock has risen by 11% and it closed Friday at $200, now up more than 31% since the start of the year.
The e-commerce stock’s momentum may continue as it recently made a bullish crossover. Last month, the stock’s 20-day moving average crossed above its 50-day moving average. For technical analysts, this is a positive sign that the stock is picking up steam and that its rally may continue.
The company’s annual Prime Day event is also coming up later this month and if it proves to be a strong day for Amazon, that could help the stock accelerate its gains even further. With bargain hunters looking for ways to trim their budgets, the event could be a busy one for shoppers and help give the company’s revenue a boost for the current quarter. And with Amazon planning to launch a new storefront which will offer low-priced products to better compete against Temu and other cheap Chinese online retailers, that may further give the e-commerce giant a boost in future quarters.
According to the consensus analyst price target of just under $216, Wall Street still sees approximately 8% upside for the stock, and that’s just in the near term. For long-term investors, there can continue to be more gains ahead as the company remains the top name in e-commerce and if it can find ways to lure more discount shoppers, it could be what the stock needs for it to soar even higher.