English
Français
Deutsch
Italiano
Português
Русский
Español
简体中文
हिन्दी
日本語
Amazon shares have gained almost 50% this year.
Dreamstime
Amazon
‘s price target was raised by analysts at Jefferies, who see the tech giant and online retailer benefiting from the growing adoption of artificial intelligence.
Even though shares of
Amazon
(ticker: AMZN) have risen almost 50% this year, there’s more upside on the back of improving profitability and artificial intelligence-driven gains for its cloud services, analysts led by Brent Thill wrote in a note. They lifted their target price to $150 from $135.
“We see AMZN as a core beneficiary from the rise of AI as AWS benefits from increased usage to train and run AI models,” the Jefferies analysts wrote in a note. “While AMZN lags its mega-cap peers in generative AI capabilities today, the AI opportunity remains early, and we expect AMZN’s rich history of innovation will help them close the AI gap over time.”
Amazon was trading slightly lower in premarket trading to $125.68.
Amazon is one of the many companies benefiting from the AI gold rush as a leading provider of cloud computing. Its retail division, for which it is better known, has performed well as consumers have kept spending even in the face of rising interest rates.
J.P. Morgan analysts predicted last week that Amazon will overtake
Walmart
(WMT) as the top U.S. retailer next year.
Separately, Amazon on Wednesday announced that its Prime Day discounting event will take place July 11-12 this year.
Write to Brian Swint at [email protected]
Read the full article here