The world's largest online retailer,
) has recently announced the launch of its wearable technology
store, giving customers access to a broad selection of the most
popular electronic gadgets - wearables.
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The technology store offers wearable gadgets from all technology
hardware makers, including Samsung, GoPro, Jawbone and others.
These include smartwatches, activity trackers, healthcare
devices, wearable cameras and wearable trackers for pet animals.
Additionally, the store features an online Learning Center
helping consumers to get a complete idea about all the wearables
available in the store and select the right product.
Additionally, buyers will be able to go though descriptions and
commentaries on these products at the Editor's Corner before
Wearable technology has become a growing market in the past few
months, with wearable applications such as remote heart-rate
monitoring making a significant impact in healthcare industry.
Additionally, these gadgets appeal to consumers as smart fashion
accessories. Lately, several technology companies like
) have joined the race to develop wearable technology.
According to a report from Transparency Market Research, the
wearable technology market is poised to expand rapidly in the
next several years. Per the report, the global wearable
technology market stood at $750.0 million in 2012 and is expected
to reach $5.8 billion in 2018, at a CAGR of 40.8%.
We believe the wide selection of new wearable gadgets offered at
the technology store will help Amazon tap a promising market by
attracting new users. This is expected to help the company garner
several billion dollars in revenues annually.
We believe Amazon's heavy investments in new markets, new product
categories, digital business and fulfillment centers will likely
weigh on its near-term results.
Nevertheless, we commend Amazon's prospects, especially its
platform approach (Kindle, Prime and AWS). We believe that Amazon
is performing true to form - generating solid revenues and strong
cash flow quarter upon quarter (discounting seasonal variations).
As such Amazon remains one of the leading players in the
fast-growing e-Commerce market. We think that this has been
possible because of the broad selection, free shipping and user
experience that Amazon has consistently provided. This has
enabled the company to gain from the shift from offline to online
Amazon currently retains a Zacks Rank #3 (Hold). Another stock
that has been performing well and is worth considering includes
), with a Zacks Rank #2 (Buy).