From Nasdaq: 2024-04-11 09:05:00

Amazon’s advancements in artificial intelligence (AI) are propelling the company to new heights, with the stock up 82% in the past year. Analysts predict more growth with a buy rating and increased price target of $235. Amazon’s investments in AI chips and data centers position them well for profit in generative AI, leading to increased retail profits.

Investing heavily in data centers, Amazon plans to spend $150 billion over 15 years to secure a competitive edge in cloud services. Generative AI could generate trillions of dollars for the global economy, with Amazon’s AWS set to benefit. Positive sales growth and profitability indicate Amazon’s retail business is thriving after cost-cutting measures.

Amazon offers investors AI-powered upside potential at a reasonable price, trading at 3 times forward sales estimates, making it a standout choice among its peers. Despite reaching an all-time high, the stock remains a buy. However, the Motley Fool’s Stock Advisor team has identified other top stocks for potential monster returns that exclude Amazon. John Mackey sits on their board, and Danny Vena holds Amazon positions.



Read more at Nasdaq: Amazon Stock Has 26% Upside, According to 1 Wall Street Analyst. Is the Stock a Buy at an All-Time High?