Amazon: Pacific Crest Cuts Ests; Cites Currency, Economy

What one analyst giveth, another taketh away Pacific Crest analyst Steve Weinstein this morning cut his estimates on Amazon.com (AMZN) , citing the weakening macro outlook and the effects of the stronger dollar. He now sees 2009 revenue for the company of $20.79 billion, down from $22.94 billion; he forecasts EPS of $1.30, down from $1.72, and below the Street at $21.56 billion and $1.50. Weinstein’s move comes one day after a bullish call on the stock from Barclays Capital analyst Douglas Anmuth triggered a sharp rise in the shares. Weinstein notes that currency has become an increasing headwind, with the pound falling 8% since he last updated estimates. He says currency is reducing his 2009 growth estimate by 6.7%. The analyst says he now sees 2009 e-commerce revenue roughly flat with 2008, with potential declines in the first half. “Although Amazon has industry-leading fundamentals, we believe the valuation and uncertainty are risks,” he writes. A PEG ratio of 2 ... (link)