Amazon Upgraded As It Catches Up To Macy's In Apparel Sales

Amazon.com Inc. was upgraded to outperform from market perform at Cowen on Monday on expectations that it will dethrone Macy's as the largest U.S. apparel retailer by 2017. Analyst John Blackledge said Cowen's monthly retail tracker survey shows continued increases in apparel sales on Amazon.com as the company improves its selection and fulfillment capabilities. In the first half of 2015, Amazon's U.S. apparel purchaser growth has accelerated 36% year-over-year, compared with 28% growth in the year-earlier period, according to Cowen. The growth was even larger among prime subscribers, coming in at 57%. Blackledge raised his price target on the stock to $565 from $435. Shares of Amazon climbed 1.5% in premarket trade, putting them on track for a record open.