Josh Brown Predicted Amazon.com (AMZN) Will 'Breakout' - Was He Right?

We recently published 10 AI Analyst Calls You Should Pay Attention To. MAmazon.com Inc (NASDAQ:AMZN) is one of the stocks analysts were recently talking about.

Josh Brown, CEO of Ritholtz Wealth Management, said in a program on CNBC back in December 2024 that Amazon is a “clear” breakout story. Brown said at the time that Amazon.com Inc (NASDAQ:AMZN) could touch $250.

“Amazon.com Inc (NASDAQ:AMZN) is a clear and present breakout right now. One of the things that I try to do is understand the fundamental story, but it’s important where you get into a stock sometimes. I’ve been in Amazon.com Inc (NASDAQ:AMZN) for a long time, so the question is where do I want to add more. Obviously, in a perfect world you have a genie come out of a bottle and say today is the bottom, but since none of us live in that world, the next best thing is to own it when the market has made up its mind that they want to take a name higher. That’s the idea behind averaging up or down into an actual technical breakout. That’s what I think is happening here. I think the stock could get to $250. That’s really like a $21 stock going to 25 — it’s not that big of a deal. This name has been building a base for a really long time, and I’m going to use this tactical breakout as the trigger to get larger.”

At the time of Brown’s call, Amazon.com Inc (NASDAQ:AMZN) was trading at around $212, while the stock is hovering around $222 as of September 30.

Pershing Square Holdings stated the following regarding Amazon.com, Inc. (NASDAQ:AMZN) in its second quarter 2025 investor letter:

“Earlier this year, we initiated a position in Amazon.com, Inc. (NASDAQ:AMZN), a company we have long studied and admired. Amazon operates two of the world’s great, category-defining franchises: its Amazon Web Services (AWS) cloud business and its e-commerce retail operations. Both AWS and the company’s retail operations are supported by decades-long secular growth trends, occupy dominant positions in their respective markets, and have significant long-term opportunities for margin expansion. Moreover, despite operating in different industries, both businesses share the core tenets of Amazon’s ethos: a relentless focus on the customer, leveraging scale to be the lowest-cost provider, and continually reinvesting to improve their value proposition.

AWS, which accounts for approximately 60% of Amazon’s total profits, is the leader in the highly concentrated cloud hyperscaler market with over 40% market share. As the first mover in the space, AWS is exceptionally well-positioned to capitalize on the multi-decade shift of IT workloads from on-premise to cloud solutions. Currently, only about 20% of IT workloads are estimated to be hosted in the cloud, a percentage that is expected to steadily increase and eventually invert over time. Similarly, Amazon’s retail business is powered by strong secular growth in e-commerce adoption. In the U.S., for example, e-commerce sales penetration has doubled in the past decade yet still accounts for less than 20% of total retail sales. Within this rapidly expanding market, Amazon holds a leadership position by offering consumers the widest selection, the lowest prices, and the fastest delivery, all enabled by a one-of-a-kind logistics network that fulfills over $700 billion in gross merchandise value annually…” (Click here to read the full text)

While we acknowledge the potential of AMZN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.