Amazon Expected to Announce Major Layoffs This Week
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1d ago
0mins
Source: stocktwits
- Layoff Announcement: Amazon is expected to formally announce layoffs this week affecting thousands of employees, particularly in the Prime Video and HR divisions, highlighting the urgency in reducing management layers.
- Email Mishap: An internal email from AWS senior VP Colleen Aubrey prematurely informed employees of layoffs, leading to an embarrassing situation for the company and indicating poor internal communication.
- Ongoing Job Cuts: Following the previous reduction of 14,000 roles in 2022, Amazon's layoff plan, dubbed 'Project Dawn', aligns with broader industry trends as companies like Pinterest and UPS also announce significant job cuts, reflecting widespread challenges.
- Management Restructuring: CEO Andy Jassy's push for a flatter corporate structure aims to reduce bureaucracy to enhance corporate culture and spur innovation, demonstrating the company's strategic adjustments in response to market dynamics.
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Analyst Views on AMZN
Wall Street analysts forecast AMZN stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AMZN is 294.69 USD with a low forecast of 250.00 USD and a high forecast of 340.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
47 Analyst Rating
46 Buy
1 Hold
0 Sell
Strong Buy
Current: 243.010
Low
250.00
Averages
294.69
High
340.00
Current: 243.010
Low
250.00
Averages
294.69
High
340.00
About AMZN
Amazon.com, Inc. provides a range of products and services to customers. The products offered through its stores include merchandise and content it has purchased for resale and products offered by third-party sellers. The Company’s segments include North America, International and Amazon Web Services (AWS). It serves consumers through its online and physical stores and focuses on selection, price, and convenience. Customers access its offerings through its websites, mobile apps, Alexa, devices, streaming, and physically visiting its stores. It also manufactures and sells electronic devices, including Kindle, Fire tablet, Fire TV, Echo, Ring, Blink, and eero, and develops and produces media content. It serves developers and enterprises of all sizes, including start-ups, government agencies, and academic institutions, through AWS, which offers a set of on-demand technology services, including compute, storage, database, analytics, and machine learning, and other services.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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