JPMorgan’s Shock Downgrade of Amazon and 4 Other Hot Stocks
JP Morgan has downgraded Amazon.com (NASDAQ:AMZN) from an Overweight rating to Neutral and reduced the price objective from $333 to $300. During 2013 analyst Doug Anmuth expects third-party sales to moderate and Amazon’s own margins could be squeezed due to a higher percentage of devices and a more international mix in sales. These factors, taken along with tougher comps, could limit gross profit growth in 2013 to just 31 percent. With this in view current prices offer balanced risk reward in the near term.