Amazon.com, Inc. (NASDAQ: AMZN) has asked the Federal Trade Commission to give its verdict by mid-March related to the company’s proposed $8.5 billion buyout of the MGM movie and television studio, according to a Wall Street Journal report. The deal was announced last May.
The e-commerce giant has fulfilled antitrust investigators’ demands by providing all the necessary information. Therefore, Amazon assumes that if the FTC does not come up with any legal issues before the deadline, the deal could be free to complete. However, post-closure of the deal, the commission’s review may continue.
Notably, the deal is also under review by the European Union’s antitrust enforcers, the delay of which could buy more time for the FTC.
No comments have been released by Amazon.
Wall Street’s Take
Recently, Tigress Financial analyst Ivan Feinseth reiterated a Buy rating on Amazon and a price target of $4,655 (57.37% upside potential).
Consensus among analysts is a Strong Buy based on 34 unanimous Buys. The average Amazon price target of $4,218.56 implies 42.62% upside potential from current levels. However, shares have lost 15.75% over the past six months.
Amazon scores a “Perfect 10” from TipRanks’ Smart Score rating system, indicating that the stock has strong potential to outperform market expectations.
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