Amazon, the Consumer Cyclical sector company, was revisited by a Wall Street analyst today. Analyst Brian Nowak from Morgan Stanley maintained a Buy rating on the stock and has a $300.00 price target.
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Brian Nowak’s rating is based on a combination of factors that suggest a positive outlook for Amazon’s future performance. One of the key reasons for the Buy rating is the improved macroeconomic environment, particularly the reduction in tariffs, which has led to an increase in Amazon’s earnings per share (EPS) estimates for 2026 and 2027. This more favorable geopolitical backdrop has allowed for a re-evaluation of Amazon’s financial projections, resulting in a significant upward revision.
Additionally, Nowak highlights the potential for Amazon Web Services (AWS) to accelerate its growth. The anticipated larger contribution from Anthropic, a rapidly growing revenue stream, is expected to bolster AWS’s performance. Furthermore, the resilience of AWS’s non-Anthropic growth, even amidst supply constraints, underscores the strength and durability of the business. The potential for similar growth patterns observed in Microsoft’s Azure, driven by both GenAI and non-GenAI workloads, further supports the optimistic outlook for AWS. These factors collectively contribute to Nowak’s confidence in Amazon’s continued success, justifying the Buy rating.
In another report released today, Citizens JMP also maintained a Buy rating on the stock with a $285.00 price target.