Amazon Stock Surges as Evercore ISI Boosts Price Target to $355
Amazon's stock surged nearly 4% on Friday after investment firm Evercore ISI boosted its price target to $355 from $315, citing the e-commerce giant's AI-driven sales growth. The revised target implies significant upside potential for Amazon's shares, which closed at $266.18 as of 12:19 p.m. Eastern time.
The upward revision was based on Evercore's survey data showing that 57% of Alexa AI users reported buying a product they hadn't previously been aware of, indicating the effectiveness of Amazon's agentic artificial intelligence tools in driving sales.
Evercore analysts also pointed to a recovery in usage of Amazon's same-day delivery service and continued spending disparities between Prime members and non-Prime customers. The firm highlighted Amazon Web Services' (AWS) growing importance, with the cloud computing division now accounting for roughly 60% of Amazon's total operating income.
While some analysts have raised concerns about Amazon's valuation and spending trajectory, Wall Street's broader view remains largely positive, with multiple firms reiterating buy ratings and raising price targets following Amazon's second-quarter earnings report.