Amazon.com Inc. (AMZN) has acquired 2,300 trucks to launch a new fleet of larger carriers to service its delivery operations. According to a Reuters report on July 10, the trucks will be much larger and to a scale commonly used by Amazon’s competitors such as FedEx (FDX) and UPS (UPS). The vehicle acquisition was made from Shyft Group, Inc. (SHYF) last year. Both companies have not disclosed the amount of the purchase.Amazon’s stock was up 1% at $3,200 as of market close on July 10, while Shyft rose 14% at $16.88.In light of the pandemic, the online retail giant was forced to delay deliveries after a surge in orders. Amazon was forced to suspend its popular Amazon Shipping for non-Amazon packages in June to give priority to its Prime customers. The retail giant has gradually returned to normal operations after inventories and staff shortages but popular discount days like Amazon Prime have been delayed until October. Amazon has not indicated when the newly purchased trucks will be deployed. However, the company has made other moves to expand its e-commerce presence on the road with vehicles. On June 26, Amazon purchased self-driving startup Zoonx for nearly $1.2 billion. Amazon’s CEO Worldwide Consumer Jeff Wilke said on June 29, “Zoox is working to imagine, invent, and design a world-class autonomous ride-hailing experience.” He added, “We’re excited to help the talented Zoox team to bring their vision to reality in the years ahead.”Citigroup analyst Jason Bazinet highlighted the impact of COVID-19 on Amazon Shipping saying on July 10, “We expect Amazon’s market share will take several years to ramp. Nonetheless, it is a powerful, long-term tailwind.” He added, “Amazon is one of the most compelling stocks we cover.” He maintained a Buy rating on the stock and raised the price target from $2,700 to $3,550 implying an upside potential of 11%.Likewise, Jefferies analyst Brent Thill also reiterated a Buy rating on Amazon’s stock but with a price target of $3100 which suggests a downside potential of 3%. Overall, 38 analysts assign Buy ratings, 2 Hold ratings, and 1 Sell rating, giving AMZN a Strong Buy Street consensus. The average analyst price target stands at $2,879.64 suggesting 10% downside potential, with shares already up 73% year-to-date. (See Amazon's stock analysis on TipRanks).Related News: Amazon Delays Online Game New World- Again Amazon Is Said To Offer $100M In Stock Awards To Keep Zoox Talent Amazon: Top Analyst Raises Estimates… Again More recent articles from Smarter Analyst: * Apple Moving Some Foxconn Manufacturing From China to India- Report * Amazon Delays Online Game New World- Again * Google, Microsoft Link Up To Bring More Web-Apps To Play Store * Tesla Slashes Model Y Crossover Price By $3,000
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