By Sam Boughedda
Truist analysts raised the firm's price target on Amazon (NASDAQ:AMZN) to $144 from $142 per share, maintaining a Buy rating on the stock in a note to clients on Wednesday.
They said the firm is "incrementally constructive" on Amazon and updated the price target on the stock as they are positive on the tech giant's first quarter and noted favorable reviews of Buy with Prime.
In addition, the analysts said they expect "1Q23's NA eCommerce growth to be slightly ahead of expectations" and see "material cost cuts following two RIFs that should drive better profitability in 2HFY23/FY24."
"We expect AMZN to report revenue of $124.9B at the higher-end of its $121-126B guidance vs. consensus of $124.5B. We expect NA revenue of $76.0B vs. consensus of $75.4B, and we note that our above consensus estimate is supported by Truist Card data," the analysts wrote.
Meanwhile, "favorable feedback from surveyed merchants on BwP" boosts the firm's bullish view of the stock. Analysts described Buy with Prime as AMZN's "next growth pillar, which leverages its best-in-class logistics/delivery network to help off-Amazon merchants offer the Prime promise of a great customer experience and 2-day delivery."