Amazon (AMZN) shares received a couple shots of confidence Thursday morning, as a pair of analyst firms upgraded their price targets on AWS strength ahead of the company’s first-quarter earnings report.
UBS Bumps Amazon Target Higher
UBS raised its price target on AMZN stock to $304 per share (from $301 previously) while raising its 2027 and 2028 estimates for AWS growth.
Analyst Stephen Ju (Buy) believes Amazon’s agreement with OpenAI suggests roughly $12.5 billion in annual revenues over an eight-year contract period. He’s also bullish on an AI revenue run rate north of $15 billion (as of the first quarter of 2026), high subscribe rate for its Trainium4, and CEO Andy Jassy’s shareholder letter, which stated that 85% of IT spend remains on-premise.
“While AMZN shares have recovered significantly YTD, we believe that there is still room to outperform as even on a GAAP P/E basis it is trading at 19x our 2027 estimate, and we do not believe a premium asset such as this should be at a discount to the market multiple,” he says. “We have previously called out AMZN shares as a coiled spring, and with each successive quarter it reports this year, the thesis will continue to get sprung.”
UBS’s new price target suggests 19% upside from here.
Related: 7 Best Growth Stocks to Buy for 2026 [Find Your Edge]
BMO More Bullish on AMZN Stock, Too
BMO Capital, meanwhile, raised its price target to $315 (~24% upside), from $310 previously, while reiterating both an Outperform rating and its view on AMZN shares a “Top Pick.” BMO Capital’s own channel checks suggest that AWS growth has accelerated in the first half of 2026.
These upgrades come just about a week before Amazon’s first-quarter earnings report, which will come after the bell on Wednesday, April 29, 2026.
AMZN rates among the top-ranked tech stocks right now. According to S&P Global Market Intelligence, 63 analysts currently have Buy-equivalent holds on the company’s shares, versus just five Holds and no Sells. Meanwhile, an average price target of $283 across Amazon’s covering analysts suggests 11% upside over the next 12 months.
Meanwhile, the pros see Amazon’s bottom line growing by 19% annually, on average, over the long term (over the next three to five years; this data point varies from one broker to the next), per S&P Global’s data.
Quick stats
- Market cap: $2.7 trillion
- Dividend yield: N/A
- Forward price-to-earnings (P/E): 28.93
- Price-to-book (P/B): 6.0
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