Amazon.com, Inc. (NASDAQ: AMZN) saw an upgrade from Wells Fargo analyst Ken Gawrelski to Overweight with a price target of $280.00. The firm predicts AWS revenue acceleration in 2026 with Project Rainier contributing $14B annual revenue at full capacity of 2.2GW.

Project Rainier is a dedicated AWS data center for Anthropic compute in Indiana, set to start coming online in January 2026. Despite AWS market share decline, growth is expected to pick up as the cloud industry expands. Risks include execution challenges with Rainier and AI-related margin pressure.

Amazon.com Inc. (AMZN) offers e-commerce, cloud computing, and AI solutions. While it’s a solid investment, some believe other AI stocks offer better potential. For those seeking undervalued AI stocks, check out the report on the best short-term AI stock. No disclosures mentioned in the article.

Read more at Yahoo Finance: Amazon (AMZN) Stock Upgraded to Overweight on AWS Growth Outlook