In this article, you will learn about Amazon’s stock price prediction after split of its shares.
On March 9, 2022, Amazon has announced its decision to split the shares in the ratio 20:1. This implies a 20-for-1 split of all its common shares. The split became eventually effective from June 3, 2022. This indicates that for every 1 share held by an investor, 19 more shares will be credited to the investor without any extra charge.
What can be the Amazon stock price prediction after split?
Below are the estimated stock prices of Amazon based on our analysis.
| Year | Lowest Price | Highest Price |
| 2024 | $144 | $288 |
| 2025 | $220 | $295 |
| 2026 | $270 | $336 |
| 2027 | $301 | $357 |
| 2028 | $357 | $451 |
| 2029 | $448 | $530 |
| 2030 | $530 | $782 |
What has been the Amazon stock price after split till 2023?
Right after the announcement of split on March 9 2022, Amazon stock price has shown a huge up on March 10 2022. On March 10 2022, it closed at $146.82 compared to $139.28 on March 9 2022.
On June 3, 2022, the split took place and Amazon’s stock price closed at $122.35. It then reached $144.78 on August 16 2022.
Amazon’s stock price finally closed at $84 on December 30 2022 but closed at $151.94 on December 29, 2023.
So basically those who have already invested right after the announcement of the split are at a small profit but we often say that if the company is good you can consider that company for holding for a long term.
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What are the opportunities of Amazon after split?
It is clear that as Amazon is a giant in the field of e-commerce business, it is hard for any other company to outweigh Amazon’s market share. Moreover, the profitability has consistently increased over the last few quarters which clearly indicates that the stock price has room to move upwards.
Furthermore, Amazon’s division, anchored by Amazon Web Services accounts for more than 50% of the company’s total sales. The investors like you must retain belief in the performance of Amazon stock price as after persisting slower growths throughout 2022, it has surged back to the positive zone in 2023, thereby giving profits to the swing traders. Amazon is also focusing on reducing its costs by streamlining its operations with the help of artificial intelligence (AI).
How long will it take for Amazon stock to go up after split?
As a long-term investor, it is always good to figure out how long can stock take to go up from the current levels but it is slightly difficult to predict it. It is because whenever a company’s stock splits, it hardly impacts the value of the underlying assets but the stock prices normally go up based on the certain following factors:
- Psychological appeal: Whenever the stock price becomes low after the split, the stock price often looks affordable.
- Increased trading volume: The split can attract more investors due to the lower price, leading to higher trading volume and potentially pushing the price up.
- Positive sentiment: A stock split can be seen as a sign of company confidence and future growth, leading to increased optimism and buying pressure.
Naturally, it is good to understand that on looking at the price, don’t start to invest in the company and that is why we often focus on the fundamentals of the company. For Amazon, the fundamentals are very strong without any doubt and investors can rethink of investing in Amazon again to grow their money safely. It is also true that based on past performances, one cannot predict the future movement of a stock price with ultimate surety. The stock market is unpredictable as short-term investors and long-term investors can manipulate the market in their favour.
You can also read abouut Costco stock which has the capability of reach $1,000
Will US Election have any impact on Amazon Stock Price?
Another important thing we need to remember is that the United States is having a Presidential election in 2024. So far we have seen that the stock market of the US has reached all-time highs which in layman’s language occurred due to buying pressure. It is understood that multiple ongoing factors have given impetus to the buying pressure. Therefore, whenever the stock market shows a huge rally, some sort of selling pressure also appears which is likely to occur right after the release of the Presidential election results or it may happen after few days after the release of the results.
As a result, there is a high probability that with the stock market indices coming down, Amazon stock price can show a significant correction at that time. By how much percentage, Amazon stock price will correct that time by mainly up to 10-20% at one shot. That will definitely be the best time to invest in Amazon stock because, after all, everyone knows including you that Amazon is a good company with very strong fundamentals. That time you can invest in some other companies with strong fundamentals also because that will be a very good time for you to invest in those good companies.
In order to remain safe, you can buy Amazon stock at a lower level or at every dip and can wait for long-term high returns in the future. This can generate huge profits and dividend income too depending on the number of shares of Amazon you are holding in your portfolio.
Should you buy Amazon stock now?
After understanding most of the things about Amazon’s stock price prediction after split on June 2 2023, we hope that you can invest in the company with proper risk management. This company is of course a very safe company to invest specially for long term investors. The only thing that is required here is patience because you can see that Amazon’s stock price prediction for 2024 is showing slower growth but can show a huge spike towards the end of the calendar year. You can see this widely in the table above where the highest price is $288. This implies that in 2024 you can invest a huge chunk and then you can enjoy profits in the coming years.
