Amazon Shares Seen Undervalued With $88 Billion Upside Potential

Amazon's stock is trading at $259.39, significantly lower than the price target of $343.50 set by analysts at 24/7 Wall St.

This suggests that Amazon's shares could potentially rise by 32.8% over the next year, making it an attractive investment opportunity for investors.

The company's strong Q2 results show a 19.6% increase in revenue and 43.2% growth in operating income, with AWS leading the charge at 37% growth and a $496 billion backlog.

Advertising revenue also jumped by 26%, supporting the bullish outlook for Amazon's future performance.

However, risks such as high capital spending and negative free cash flow do exist, but management is optimistic that these investments will pay off in the long term.