Amazon.com, Inc. (NASDAQ:AMZN) is one of the AI Stocks Making Headlines This Week. On September 15, TD Cowen analyst John Blackledge reiterated a Buy rating on the stock with a $255.00 price target driven by strong growth potential in the company’s cloud computing division.
According to Blackledge, Amazon Web Services (AWS), Amazon’s cloud platform, holds a strong position in the GenAI market. A survey of North American IT decision-makers has revealed that a major portion of firms are already hosting their GenAI solutions on AWS.
Moreover, there are expectations for increased spending on GenAI services in the coming years. GenAI cloud spending growth is set to fuel AWS revenue growth, driving a projected CAGR of 20% from 2025 to 2030.
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Moreover, a sum-of-the-parts analysis by the firm has revealed that AWS could be worth $1.2 trillion by 2026, supporting Amazon’s decision to boost capex for generative AI buildout.
The survey has also revealed that 85% of respondents aim to use generative AI tools by 2026, with 75% already implementing them.
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 potential of AMZN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
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Disclosure: None.
