.July 16, 2024 6:43:00 PM

Goldman Sachs analysts upgraded their outlook for Amazon (NASDAQ:AMZN), citing anticipated growth in operating income from stronger margins. They highlighted three key factors expected to impact Amazon’s Q2 2024 results: consumer market health, operating income margin improvements, and AWS revenue growth. Despite weaknesses in the UK and Germany, Amazon’s eCommerce business has shown resilience in Q2. Analysts predict Amazon could outperform in 2025 and beyond, driven by higher retail margins and increased advertising contributions. They maintain a positive outlook for international margins and expect robust AWS profitability. Goldman Sachs raised Amazon’s 12-month price target from $225 to $250, maintaining a Buy rating.