Analysts take a bullish outlook on stocks like Amazon and Salesforce

Analysts take a bullish outlook on stocks like Amazon and Salesforce

An Amazon employee delivers packages amid the coronavirus disease (COVID-19) outbreak on April 22, 2020 in Denver, Colorado.

Kevin Moht | Reuters

Although the markets are far from their peaks, analysts believe that many companies still have room to grow.

Innovations in point-of-sale technology, buy now, pay companies later, and changes in cloud computing trends have prompted some of Wall Street’s top analysts to make bullish assumptions about these stocks. . TipRanks unique data determines which analysts gave the right ratings and lets everyday investors see which ones to follow.

Taking a closer look at the fundamentals and outlook for these companies, some of the industry’s top analysts say they are bullish.

Pay Pal

As the trend of e-commerce grows, consumers are looking to buy now and pay companies later to help make shopping easier. When businesses are looking for mergers and acquisitions, payment processors often offer the right solution. That’s why analyst PayPal Holdings, Inc. is excited. (PYPL strong>), which recently announced the acquisition of Japanese Buy Now, later pay the Pedi platform.

Jason Kupferberg of Bank of America has expressed his opinion on the matter, writing that the deal would expand PayPal’s capabilities in Japan and expose it to the high-growth BNPL market. Japan is the third largest e-commerce market in the world, with significant entry into predominantly monetary society.

Kupferberg reiterated his buy rating on the stock and announced a price target of $ 323.

The five-star analyst said the pedi deal is expected to close in the fourth quarter of this fiscal year. Pady is enjoying significant success, noting that both volume and revenue have grown over 100% year over year. The Japanese company serves its users by consolidating their payments into one invoice and delivers value to merchants by increasing the number of repeat customers and the amount they typically spend. (See PayPal Risk Factors on TipRank)

Declaring PayPal’s actions as a “first choice for payments,” Kupferberg sees no significant competitive disruption from Amazon (AMZN) recently announced a partnership with Buy Now, Pay Later Confirm Service (AFRM)

Kupferberg is ranked # 216 on TipRanks out of over 7,000 total analysts. Their scoring record is impressive, with a pass rate of 69% and an average return of 16.6% on each score.

school of power

During the pandemic, companies that helped facilitate students who were not allowed to study in the classroom saw the opposite. In many places in North America, the school year has resumed, but this time with students in class. As a K-12 education software company, PowerSchool Holdings, Inc. (PWGSC) has the potential to capture both types of education markets.

Brent Thiel of Jefferies Group said that although the stock has made significant gains since going public on July 28, the stock price remains at attractive levels. They believe that “PWSC’s industry-leading and deeply integrated K-12 suite of software applications positions it as a true platform. ”

Thill gave the stock a buy rating and raised his price target from $ 32 to $ 38.

PowerSchool recently reported earnings generally in line with Wall Street consensus estimates, but earnings indicate strong demand across all classes. This demand should continue with the reopening of schools and the return of students to physical classes. (See the PowerSchool stock chart on TipRanks)

The company’s subscription revenues increase and existing customers move and upgrade their purchased plans. In addition, international markets remain a long-term strategy, with the goal of reaching around 1.3 billion potential students.

Five-star analysts were optimistic about PowerSchool’s growth in the number of active users acquired in the first half of 2021, as this reflects the company’s relevance to the reality of a near-pandemic school. Additionally, the software company recently struck a high-profile deal with Miami-Dade County in Florida, underscoring its value to the main metropolitan school system.

On TipRanks, Thiel ranks # 20 out of over 7,000 experts. According to his grades, he maintains a pass rate of 78% and gives an average of 29.2% per grade.

Harley davidson

An iconic brand with an incredibly loyal following, Harley-Davidson, Inc. (pork) has seen its position receded over the years. The company is associated with the older generation of consumers, but millennials can now afford a motorcycle. Lately, however, Harley-Davidson has struggled to adapt to new market realities and increase profits. (See Harley Davidson blogger’s sentiment on TipRanks)

Noting that the company has already “passed a milestone”, Ivan Fenseth of Tigress Financial Partners pointed to a bullish thesis on the stock. They wrote that “HOG’s strong brand value, coupled with its capacity for innovation and continuous deployment of new products, as well as a consistent long-term history of international expansion and money return to shareholders, will lead to greater creation of long-term shareholder value. ”

Feinseth reiterated the buy rating for the stock and provided a price target of $ 56.

The analyst believes Harley-Davidson’s current valuation is attractive for entry and its strong quarterly earnings report suggests there is significant upside potential. The company is improving its balance sheet and free cash flow, which should help it make strategic investments, increase dividends and share buybacks.

As for recent initiatives, a new standalone brand of electric motorcycles has been introduced in the form of the updated LiveWire One. This electric motorcycle represents the company’s effort to capture changing consumer trends. In addition, a Certified Pre-Owned Program provides direct visibility to Harley-Davidson in the used motorcycle market.

Fineseth sees monetization opportunities in the purchase of custom branded accessories by existing Harley owners, as well as in the company’s efforts to expand its international customer base.

According to TipRanks’ unparalleled calculation capabilities, Feinseth is ranked 75th out of over 7,000 professional financial analysts. He was successful on his stock quotes 72% of the times and averaged 20.3% each.

selling power

If there is one clear trend that has emerged from the COVID-19 pandemic, it is accelerated digital transformation. The work-from-home mandate has prompted businesses and businesses of all sizes to move their operations online and seek cloud-based solutions. Even with employees returning to their offices, this major shift towards digitization is here to stay, and Salesforce, Inc. (CRM) is there to capitalize on the lag.

Brian White of Monness quickly speculates that Salesforce’s single platform is “more relevant than ever” and ready to catch up with the digital transformation trend.

White reiterated the buy note on CRM and announced a price target of $ 300.

Last July, the software company finalized its high-profile acquisition of trade coordination firm Slack. Salesforce will be holding its annual Dreamforce conference soon, and White is hoping the new additions will grab the attention of investors.

In addition to the full suite of Slack-related integrations announced last month, the five-star analyst expects more innovations to be unveiled at Dreamforce. He is particularly confident about the growth, writing that “not only do we believe that Slack offers the potential to significantly increase the value of the Salesforce platform, but the deal will also give the company additional financial flexibility over the years. Next 12 to 18 months “. provides.

Beyond Slack and its potential, other acquisitions by Salesforce, including MuleSoft and Tableau, have already been successfully completed.

Financial data aggregator TipRanks currently ranks White 38th out of more than 7,000 certified financial analysts. The site calculates its success rate at 79% and it returns an average of 29.2% for each grade.

heroin

As e-commerce trends took off during the pandemic, Amazon (AMZN) is now investing in physical points of sale and is now developing a new method of paying for products. According to Justin Post of Bank of America, the multinational conglomerate is working to launch new point-of-sale technology in its supermarkets and bookstores. To go further, this hardware and software will also be integrated into third-party companies. (See Amazon Hedge Fund Trading Activity on TipRank)

Post reiterated its buy rating on the stock and added a 12-month price target of $ 4,250.

The five-star analyst noted that this new innovation will be implemented in accordance with the company’s delivery channels and its new palm-sized payment system, Amazon One. Once incorporated by small and medium-sized businesses, the technology could compete with other point-of-sale companies such as Square.Class) and PayPal (PYPL)

The Post reported that the COVID-19 pandemic has increased the need for small and medium-sized businesses to better connect with consumers. Providing local businesses with multiple ways to generate sales is also beneficial, and Amazon’s technology can provide insightful business analysis to sellers themselves.

Not only will Amazon sell point-of-sale technology to third-party retailers, but consumers will be able to pay through their Amazon accounts at point-of-sale. Post notes that the product will offer “deep integration with the Amazon marketplace, fulfillment, payment and payment processing capabilities” to allow Amazon to continue to compete with marketplaces like Shopify (Shop) and Google (Google)

On TipRanks, Post has a rating of 43 out of more than 7,000 expert analysts. He runs on his grades with a 74% pass rate and has an average of 29% from each.

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