Analysts Express Optimism on Amazon (AMZN) Amid AWS and AI Growth

Paul Marshall and Ian Wace rank among the richest hedge fund managers in the world. Accounting for a 2.52% share ($2.76 billion) in the portfolio, Amazon.com, Inc. (NASDAQ:AMZN) ranks as Marshall Wace’s top stock pick.

On May 13, Wolfe Research published its internet sector study, which included Amazon.com, Inc. (NASDAQ:AMZN) among its top picks. Wolfe forecasts that AWS acceleration will boost sales and EBITDA expectations, with the firm expecting AWS revenue growth in Q2 in the low-to-mid 30% range, vs the average expectation of 31%, citing gains from Anthropic, OpenAI, capacity expansion, and organic mid-teens percentage increases.

The firm additionally projects that Amazon.com, Inc. (NASDAQ:AMZN) should keep its share of the retail market, with potential operational income gains from marketing revenue growth, localization benefits, a move to third-party vendors, and incremental automation.

Meanwhile, on May 14, analyst Justin Post of BofA Securities reaffirmed a Buy rating for AMZN shares, with a price objective of $310. The analyst emphasized Amazon’s new Alexa for Shopping, which combines Rufus’ extensive product knowledge with Alexa+’s customized intelligence to create an integrated AI shopping assistant. Early data indicates that Alexa+ users engage twice as frequently and make three times as many on-device transactions, while Rufus users are 60% more likely to make the switch.

According to the analyst, Amazon.com, Inc. (NASDAQ:AMZN) reported $12 billion in additional GMV from Rufus in 2025, which is only around 1% of global GMV based on BofA projections, indicating a substantial runway for AI-fueled sales.

Amazon.com, Inc. (NASDAQ:AMZN) is an American technology company that focuses on e-commerce, cloud computing, and other services, including digital streaming and artificial intelligence solutions.

While we acknowledge the risk and potential of AMZN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than AMZN and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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