It’s time to buy Amazon stock, this investor says

Campbell, Lee & Ross Investment Management analyst Darren Sissons said on BNN Bloomberg’s Market Call on Jan. 12 that Amazon’s (Amazon Stock Quote, Chart, News, Analysts, Financials NASDAQ:AMZN) shares remain attractive, citing a lagging valuation relative to large-cap peers and durable growth driven by its cloud business.

“From a valuation perspective, Amazon has definitely lagged its large-cap peers, so from an entry point of view, I think it looks quite attractive,” Sissons said.

“I think it’s a well-priced leverage on the growth of digitization,” he said, adding that he would not be surprised if Amazon eventually pursued asset sales or divisional carve-outs to unlock value.

He added that while Amazon operates across U.S. and European retail and media businesses, “the lion’s share of the growth is really coming from AWS,” where the company continues to invest heavily.

Sissons said Amazon is well-positioned to benefit from long-term digitization trends, noting the company’s scale, capitalization, and growth profile over the past decade.

“I think it’s a well-priced leverage on the growth of digitization,” he said, adding that he would not be surprised if Amazon eventually pursued asset sales or divisional carve-outs to unlock value.

Amazon shares have gained 13.22% over the past 12 months and 54.61% over five years. Of the analysts covering the stock, 81 rate it Buy, four rate it Hold, and none rate it Sell, with a consensus price target of US$297.02.

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