Sam Boughedda

Investing.com — Amazon.com Inc (NASDAQ:) remains BofA Securities’ top FANG, stock analyst Justin Post said in a note to investors Friday.

The analyst stated that they expect some pressures due to rising transportation costs, gas prices, and inflation in the first quarter of Amazon’s earnings.

BofA updated 2022 estimates due to “increasingly hard FX headwinds and the gas price impact on shipping which may be partially offset by a hike of 5% on FBA charges.”

Post maintained a Buy rating for the stock. He explained that although inflation can cloud the story of 2022 margin recovery, Amazon is still its most important FANG stock.

BofA has lowered the price target for the stock from $4,450 down to $4,225. This is due to lower revenues estimates and multiple compressions made in the cloud sector.

Amazon shares fell 1.8% on Friday