Positive Rating and Increased Price Target for Amazon
Morgan Stanley has raised the price target for Amazon shares (NASDAQ: AMZN) from $250 to $300 and maintains its ‘Overweight’ rating. The new price target implies an upside potential of about 35% compared to the current price level of approximately $222.26. In a bullish scenario, analyst Brian Nowak even sees potential up to $350, representing a price potential of up to 60%.
Main Reasons for the Price Target Increase
- Lower Tariff Risks: Morgan Stanley now assesses the geopolitical and tariff environment as less risky.
- Improved Macroeconomic Environment: Since mid-April, the macroeconomic environment has developed positively.
- Increased Earnings Estimates: Earnings forecasts for 2026 and 2027 have been raised.
- Growth in AWS: The Amazon Web Services sector remains a key growth driver.
Further Positive Signals
TD Cowen has also raised the price target for Amazon and expects that Amazon will exceed consensus expectations for the second quarter. A strong forecast for the third quarter is supported by solid performances in AWS and e-commerce.
Long-Term Perspective
Amazon remains promising in the long term due to innovations in e-commerce and strength in cloud computing. Despite stock sales by Jeff Bezos, the stock remains attractive.
Relevance for Private Investors
This development is relevant for investors in the German-speaking area, as Amazon plays a central role in the market and displays attractive price potential.
Overall, Morgan Stanley signals great confidence in Amazon’s business model, particularly through AWS and the stabilized macro situation.