Retail and technology giant Amazon.com, Inc. (NASDAQ:AMZN) recently received some sharply bullish commentary from analaysts at Cantor Fitzgerald.
The firm reiterated its Buy rating on AMZN and lifted its price target from $835 to $1,000. That new target suggests a 20% upside to the stock’s Wednesday closing price of $834.09.
Cantor analyst Youssef Squali cited continued strength in core retail and sustained momentum in Web Services (AWS) for the move. Squali noted that we’re beginning to reach a tipping point in e-commerce, with revenue growth in the U.S. market accelerating year-over-year in the first nine months of the year.
Accordingly, this growing trend is “playing into the hands of market leader Amazon,” the analyst writes. Amazon Prime’s user base keeps growing, along with the company’s share of overall retail searches online.
Squali expects Amazon Web Services’ “strong economics” to continue to fund other growth drivers at the company, which will in turn allow the stock to continue to “grind higher” in coming months.
This move follows a similar note from JPMorgan analysts a couple of weeks ago. That firm also put out a $1,000 price target on the shares, noting “We believe Amazon continues to show strong ability to take share of overall e-commerce, and its flexibility in pushing first-party versus third-party inventory is a major advantage compared with other retailers.”
Amazon shares fell $4.40 (-0.53%) to $829.69 in premarket trading Thursday. Year-to-date, AMZN has gained 23.41%, nearly five times the return of the benchmark S&P 500 in the same period.