E-commerce giant Amazon’s (AMZN) Prime Day sales event that begins today (July 11) is expected to generate $12 billion U.S. in sales, according to Bank of America (BAC) analysts.
The two-day sales extravaganza, which is exclusively available to Amazon Prime members, for the first time involves deals with third-party merchants, which is expected to help boost sales.
Bank of America forecasts that Prime Day will generate $12 billion U.S. in merchandise sales, representing 7.4% of the $162 billion U.S. that is expected in total third quarter sales at Amazon.
The bank anticipates 10% year-over-year Prime Day sales growth this July.
However, in the lead up to this Prime Day event, Amazon appeared to temper expectations, saying that consumers are more cost-conscious in the current environment.
A poll of consumers from online firm RetailMeNot found that consumers plan to spend $250 U.S. on summer sales this year, down from $388 U.S. in 2022, and $594 U.S. in 2021.
Nevertheless, Bank of America maintained its “buy” rating on Amazon stock ahead of the current Prime Day event.
Amazon’s stock has gained 14% in the last 12 months to trade at $127.13 U.S. per share.
Tech Insider
