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July 20, 2020, 2:19 p.m. EDT

Amazon's stock surges to snap 5-day losing streak, adds about $91 billion to its market cap

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By Tomi Kilgore

Shares of Amazon.com Inc. /zigman2/quotes/210331248/composite AMZN -1.79% powered up 6.2% in afternoon trading, to add $91.3 billion to the ecommerce and cloud giant's market capitalization, after MKM Partners analyst Rohit Kulkarni raised his price target by 33% citing the company as a two-pronged beneficiary of the COVID-19 pandemic. Amazon's market cap increased to $1.57 trillion. The rally comes after the stock declined every day last week, marking the first weekly decline for the stock in 11 weeks, and just the second weekly loss in 18 weeks. Kulkarni boosted his price target to $3,350 from $2,525, will maintaining the buy rating he's had on the stock for at least the past three years. "As the pandemic has accelerated the shift towards online shopping and towards cloud computing, we believe Amazon is the single best beneficiary from these secular trends over the next several years," Kulkarni wrote in a note to clients. While bearish investors have argued that valuations are stretched, and he wouldn't be surprised to see investors take profits ahead of earnings, which are scheduled to be released July 30, "we believe it is a risky proposition to bet against Amazon," Kulkarni wrote. The stock has soared 70.2% year to date, while the SPDR Consumer Discretionary Select Sector ETF /zigman2/quotes/200844504/composite XLY -1.39% has gained 8.0% and the S&P 500 /zigman2/quotes/210599714/realtime SPX -1.12% has edged up 0.4%.

/zigman2/quotes/210331248/composite
US : U.S.: Nasdaq
$ 2,954.91
-53.82 -1.79%
Volume: 8.89M
Sept. 18, 2020 4:00p
P/E Ratio
113.58
Dividend Yield
N/A
Market Cap
$1480.08 billion
Rev. per Employee
$359,671
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/zigman2/quotes/200844504/composite
US : U.S.: NYSE Arca
$ 143.89
-2.03 -1.39%
Volume: 5.42M
Sept. 18, 2020 4:00p
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/zigman2/quotes/210599714/realtime
US : S&P US
3,319.47
-37.54 -1.12%
Volume: 4.09B
Sept. 18, 2020 5:15p
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