Amazon’s (NASDAQ:AMZN) consumer issues

Amazon has been worried about the emergence of the iPad and could be seeing a shift in how people consume alot of the media that it is trying to sell. Amazon.com inc. (NASDAQ:AMZN) shares stood at 150.09 as of 4/22/2010 signifying a +3.66 – +2.50% change over the previous day.

The stock value of Amazon.com Inc. (NASDAQ:AMZN) may see some change tomorrow, as their Q2 earnings missed analysts’ estimates.

Nearly 7% was wiped from the value in after-hours trading, and some believe the future for the company may face troubles as consumers turn away from traditional media forms (DVDs and books) and toward digital products.

Amazon.com inc. (NASDAQ:AMZN) Basic Analysis

For today’s basic analysis, we start with the P/E. AMZN’s current P/E is standing at 69.7 – worse than the average across the industry of 46.7. Analysts believe that AMZN’s forward P/E is around 39.6, so that’s a plus compared to the trailing P/E. Another variable to consider is the PEG ratio – where Amazon.com inc.’s 2 ratio makes it in fact overvalued and worse off than the industry’s average 5 year PEG ratio of 1

Amazon.com inc. (NASDAQ:AMZN) Analyst Opinion

The general analyst opinion regarding AMZN is a Moderate Buy, with a current 1.83 mean recommendation (with 1 being a strong buy, and 5 being a strong sell). The consensus score 3 months ago was 1.88. Zacks, the investment research firm, gives Amazon.com inc. a 8 out of 17 rank in the industry.

Also worth sharing is the shares’ grades from MSN Money across the following areas:

Technical Grade: B
Valuation Grade:C
Fundemental Grade:B
Return Grade:B
Risk Grade: B

Last, no matter whether you decide to buy, hold or sell Amazon.com inc. (NASDAQ:AMZN) shares, make sure you do it at the right price. Timing the market or technical analysis can be a fruitless exercise, but do take into account the price history:

Price History
Last Price: 150.09
52 Week Low / High: 73.1 / 149
50 Day Moving Average: 128.51
6 Month Price Change %: 49.2%
12 Month Price Change %: 84.0%

We’ll be keeping a close eye on the AMZN (NASDAQ:AMZN) stock price for developments over the next few weeks.