Overview
- TD Cowen raised its Amazon price target to $315, maintaining a Buy after an ad‑buyer survey found over 60% of advertisers plan to increase spend in 2026.
- Raymond James said Q4 2025 looks constructive with strong holiday trends, favorable ad checks, and beatable AWS expectations, with AI seen as a key 2026 driver.
- Amazon’s advertising revenue grew 24% to $17.7 billion in the most recent quarter, highlighting a high‑margin growth engine alongside retail and cloud.
- Growth at AWS is starting to accelerate, supported by rising AI demand that is expected to lift cloud usage and profitability.
- Counterpoint from market commentary suggests TSMC and Broadcom could surpass Amazon’s market cap within three years, noting Amazon’s $2.55 trillion value and a 6% one‑year stock gain versus 16% for the S&P 500.