Stifel keeps buy
Amazon.com (AMZN) said its 2008 holiday season was its best ever. Stifel analyst Scott Devitt says Amazon reported strong peak days for items ordered and shipped. Devitt notes, on the peak ordering day of Dec. 15, Amazon received 6.3 million orders, up 17% by his estimates. He says the company shipped to over 210 countries, shipped more than 99% of orders in time to meet holiday deadlines worldwide. Devitt continues to expect some unique dynamics to Amazon's product mix this year due to condensed post-Thanksgiving shopping period and a more pronounced shift toward company-owned inventory, even relative to prior fourth-quarter periods. He has a $61 12-month price target.
INTERNATIONAL GAME TECHNOLOGY
JPMorgan cuts estimates, keeps neutral
JPMorgan analyst Joseph Greff cut his first-quarter fiscal 2009 (Sept.), full fiscal 2009, and fiscal 2010 EPS estimates on International Game Technology (IGT) to account for lower replacement and new units than previously forecast. Greff cut his $0.26 first-quarter EPS estimate to $0.24, his $1.17 fiscal 2009 forecast to $1.07 (the Wall Street consensus is at $1.19), and his $1.33 fiscal 2010 forecast to $1.10 (Wall Street is at $1.36). At current levels, Greff thinks IGT's valuation is not demanding at 10.2 times his fiscal 2009 EPS estimate and 5.4 times EV/EBITDA, but he is still on the sidelines, looking forward to hearing from IGT on new game/title progress, cost-cutting initiatives, and new management changes. He has an $11 calendar year-end 2009 price target.