Amazon Stock Surges 13%, Analysts See 27% Upside Potential

Amazon's stock has been performing well despite market pressure, gaining 1.3% on Monday and another 0.53% in pre-market hours today.

The company's solid second-quarter earnings and demand for AI infrastructure have contributed to investor optimism.

Analysts have a Strong Buy rating on Amazon with an average price target of $334.0, indicating a 27.45% upside potential.

BofA analyst Justin Post reiterated a Buy rating on Amazon at a $320 price target and expects the company to add about 15 gigawatts (GW) of AI data center capacity in 2026 and 2027.

Morgan Stanley analyst Brian Nowak also maintained a Buy rating with a $335 price target, predicting AWS could reach $1 trillion in annual revenue over the next 8-10 years.