Is this U.S.-China selloff a buy? A top Wall Street voice weighs in
Investing.com - BMO Capital has reiterated its Outperform rating and $280.00 price target on Amazon.com (NASDAQ:AMZN) stock, maintaining its status as a "Top Pick" for the investment firm. The target represents significant upside potential from the current price of $222.68, with analyst targets ranging from $230 to $306.
The firm reports that third-quarter 2025 checks continue to support second-half 2025 AWS growth acceleration, although ramping competition and capacity constraints likely limit additional upside potential for Amazon’s cloud computing division. According to InvestingPro analysis, Amazon maintains a GREAT financial health score of 3.08, supported by moderate debt levels and strong cash flows.
BMO Capital notes that retail sales for Amazon remain strong, but the trend is moving in the opposite direction of consumer confidence, raising questions about sustainability heading into the fourth quarter of 2025. The firm has modestly raised its third-quarter 2025 Retail GMV estimates while maintaining caution for the fourth quarter. The company’s revenue growth remains robust at 10.87% over the last twelve months, with analysts forecasting 11% growth for FY2025.
The investment firm expects Amazon’s advertising business to continue scaling and outpace all other segments in the second half of 2025, though its current estimates already reflect this potential upside.
Despite mixed signals across Amazon’s business segments, BMO Capital has maintained both its estimates and $280 target price for the e-commerce and cloud computing giant.
In other recent news, Amazon has made several strategic announcements and received notable analyst attention. The company successfully launched its Prime Big Deal Days event, which was well-received by Telsey Advisory Group, leading them to reiterate an Outperform rating with a $265.00 price target. Additionally, Amazon plans to expand its pharmacy services by introducing kiosks at One Medical offices in the Los Angeles area, starting December 2025. This expansion will allow patients to conveniently pick up prescriptions following their medical appointments.
Furthermore, Amazon announced a significant investment of $1.16 billion in Belgium over the next two years, aiming to enhance infrastructure and partnerships with local businesses. In light of these developments, Goldman Sachs raised its price target for Amazon to $275.00, maintaining a Buy rating and highlighting growth opportunities in Amazon’s cloud computing and advertising sectors. These moves reflect Amazon’s strategic initiatives to bolster its market presence and service offerings.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.