BNP Paribas Exane Initiates Amazon (AMZN) at Outperform, Says AI Concerns Are Overblown

Amazon.com, Inc. (NASDAQ:AMZN) is one of the Hot AI Stocks to Keep on Your RadarOn November 24, BNP Paribas Exane initiated coverage on the stock with an Outperform rating and a $320.00 price target.

The firm believes that AMZN enjoys strong leadership in cloud, ecommerce, and ad growth; and that AI underinvestment concerns are overblown.

Amazon is well positioned to maintain its leadership across cloud computing and e-commerce sectors, and  it holds significant growth potential in advertising. Besides these tailwinds, the firm also noted how underinvestment concerns for Amazon in artificial intelligence are overblown.

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“We see concerns around underinvestment in AI as overblown, given the company’s ongoing buildout of AI infrastructure, model integration across AWS, and deployment within its consumer ecosystem. We are initiating coverage of Amazon with an Outperform rating and a $320 TP.”

Overall, the firm believes Amazon is the most robust business within its e-commerce coverage characterized by several levers for growth e.g. retail, AWS, ads.

Amazon.com Inc. (AMZN) is an American technology company offering 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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Disclosure: None.