Citi Reiterates Buy On Amazon

Citi Investment Research is reiterating its Buy rating and $240 price target on shares of Amazon.com (NASDAQ: AMZN).

In a note to investors, Citi writes, "We are reiterating our Buy in the wake of key updates to our AMZN Long thesis. We continue to view favorably the long-term risk-reward on AMZN shares & continue to view AMZN as the best play off the secular growth in Online Retail. Our $240 PT remains based on applying a 23X multiple (or roughly 4.4% FCF yield) to our 2012 FCF estimate of $4.96B."

Shares of AMZN lost $2.63 yesterday to close at $185.69, a loss of 1.4%.