Cantor Fitzgerald Keeps Amazon Overweight on AI Ad Tools Optimism

Cantor Fitzgerald has reaffirmed its Overweight rating on Amazon.com stock, setting a price target of $320. This suggests a significant upside from the current trading price of $251.52. The firm’s optimism follows Amazon’s unBoxed 2026 conference, where the company unveiled several AI-powered advertising tools. Among the new products are Amazon Ads Agent for conversational campaign management and Full-Funnel Campaigns, designed to automate creative, audience targeting, and optimization. Testing showed these tools can boost long-term return on ad spend by 67% and reduce new-to-brand acquisition costs by 29%. Additional launches include DVA+ for unified campaigns, Sponsored Services with Yelp, and new agent tools for campaign execution and analytics.

Analyst Deepak Mathivanan maintained Cantor Fitzgerald’s positive outlook, citing Amazon’s undervaluation at current levels. The stock trades at a P/E ratio of 20.13 with a notably low PEG ratio of 0.22. InvestingPro analysis supports this view, indicating additional upside potential based on the platform’s fair value. Investors can access Amazon’s comprehensive Pro Research Report on InvestingPro for deeper insights.

In other recent developments, Amazon announced a 15% increase in GPU reserve pricing for Amazon Web Services (AWS), effective October 7, 2026. This follows a previous 20% hike set for July 1, 2026, marking the fourth consecutive quarterly price increase in GPU classes. Wells Fargo reiterated its Overweight rating, citing AWS’s pricing power. Goldman Sachs added Amazon to its Director’s Cut list, while Rosenblatt raised its price target to $360, maintaining a Buy rating. Additionally, CSL partnered with AWS to leverage AI and cloud computing in drug research, highlighting Amazon’s strategic positioning.