These stocks are on fire.

Shares of tech behemoths Amazon and Netflix are surging this year. The stocks, up a respective 27 percent and 45 percent in 2018, both just hit all-time highs, and some market watchers see one as the clear pick.

While both stocks are solid growth names, Netflix looks attractive over Amazon, said Mark Tepper, president and CEO of Strategic Wealth Partners.

“Netflix is changing the way we all consume video content; if I had to pick one, it would be Netflix,” Tepper said Wednesday on CNBC’s “Trading Nation.”

“The real reason for that is pricing power. Amazon is oftentimes the low-cost provider; you can see that with their over-the-counter health-care products, versus Walgreens or CVS. Netflix, on the other hand, could easily raise prices by 50 percent, and nobody would bat an eye, so we would take Netflix at this level,” he said.

Netflix looks attractive relative to Amazon on a technical basis, said Todd Gordon, founder of

“Netflix is outperforming Amazon on a relative basis, and if we get above the 0.25 level, we could come back and retest. So that means you’re getting a little more bang for your buck in Netflix,” he said Wednesday on “Trading Nation.”

Gordon sees a projected upside target of $500 in 2018 per share, “and possibly $750, until you reach the upper end of that channel,” given its uptrend parallel channel since mid-2012.

“I hold Amazon, but based on this analysis, I’m going to get into some Netflix,” he said.

Amazon was trading modestly higher Thursday, while Netflix shares were lower.

Source link

Products You May Like

Articles You May Like

Textron profit soars, agrees to sell tools business to Emerson
New York is probing cryptocurrency exchanges. What you need to know
Hasbro reports first quarter earnings 2018
Ericsson first-quarter loss shrinks as cost-cuts pay off; shares jump
Bitcoin’s latest climb brings post-Tax Day rally to more than 8%

Leave a Reply

Your email address will not be published. Required fields are marked *