Amazon Stock Soars as Top Analyst Lifts Price Target to $355
Amazon shares surged about 4% on Friday after top-rated Evercore ISI analyst Mark Mahaney boosted his price target to $355, citing strong retail signals. The analyst has a success rate of 84% on Amazon stock and an average return per rating of 21.81% over the past year.
Mahaney's optimism is based on recent survey data showing that Amazon's retail strength remains intact. Key indicators include AI-driven shopping habits, with 57% of Alexa users buying items they didn't previously know about, and a widening gap in Prime member spending, now 3.1 times higher than non-Prime users.
The analyst also noted that shipping speed is improving, with regular same-day usage rebounding to 49%, and Amazon's new Perishable Checkout tool is boosting grocery sales. Additionally, customer satisfaction remains high at 76%, and Prime pricing power looks solid, with about 60% of members willing to renew even if the annual fee rose by $20.
The momentum in Amazon stock is also fueled by a major deal with Nvidia, which will add 2 million high-end GPUs across 2027 and 2028. This move supports Amazon Web Services' (AWS) heavy spending plans and reinforces demand for cloud and AI work.