Deutsche Bank (NYSE:DB) says they see Amazon.com (NASDAQ:AMZN) accelerating unit growth and operating profits rising 25 percent through 2012.
Recommending to buy Amazon.com on weakness, Deutsche said "particularly as accelerating unit growth (43% in 4Q) should yield improved operating profit dollar growth LT, despite the NT hit on margins."
They added that the "$53 million in spend from operational profits should yield roughly $200 million in incremental profits over 4 yrs."
Deutsche lowered their full year 2011 EPS from $4.25 to $3.91. For 2012, they raised revenue estimates from $51.5 billion to $54.6 billion. They kept 2012 EPS estimates at $5.00.
They reiterate their "Buy" rating on Amazon.com, which closed Friday at $171.14, falling $13.31, or 7.22 percent. Deutsche increased their price target on Amazon from $186 to $192.
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