Bad news for Amazon (NASDAQ:AMZN) today as the massive online retailer took a significant hit after announcing some new streaming plans. It recently set up a new deal with Rogers Communications (TSE:RCI.B) (NYSE:RCI) to bring Monday Night Hockey to Canada via Prime Video. It would be easy to think that that’s a great idea, but investors weren’t so sure, sending shares down nearly 2.5% in Thursday afternoon’s trading.
Starting with the 2024–2025 season, Amazon Prime Video will bring the National Hockey League’s Monday night games to Canada, which should open up new options for Canadians who enjoy hockey. The move is also something of a coup for Rogers, who has been working on expanding its own arsenal of streaming video options.
Amazon, meanwhile, has been expanding its own presence in streaming, with hockey just one of several additions. Not so long ago, Amazon bought in on Diamond Sports Group, giving it access to several teams throughout the National Basketball Association (NBA) and Major League Baseball (MLB).
The Timing Couldn’t Be Much Better
Just as Amazon revealed some new options for sports streaming, word also emerged that the price of an Amazon Prime membership is likely to go up again. Amazon’s been adding features to Prime Video at a pretty rapid clip lately to blunt the blow, including the addition of delivery from Whole Foods and other places for subscribers. But with prices on just about everything going up, it’s a safe bet that Amazon will likely still lose subscribers, even with how much more valuable a Prime membership is.
What Is Amazon’s Target Price in 2024?
Turning to Wall Street, analysts have a Strong Buy consensus rating on BA stock based on 42 Buys assigned in the past three months, as indicated by the graphic below. After a 64.21% rally in its share price over the past year, the average AMZN price target of $212.41 per share implies 23% upside potential.
Is It Wise to Allocate $1,000 Toward AMZN Stock Right Now?
Before you hurry to invest in AMZN, think about the following:
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