Amazon's (AMZN) Expanding AI Tools and Prime Growth Keep Momentum Strong

Amazon.com, Inc. (NASDAQ:AMZN) is one of the Trending AI Stocks on Wall Street’s Radar. On October 6, Monness analyst Brian White has maintained a Buy rating on the stock citing its robust market position and innovation.

According to White, competitive pressures in the cloud sector, particularly AI, exist. However, Amazon is effectively coping up with its scale and technological leadership.

Strategic initiatives such as Prime Big Deal Days are likely to ramp consumer engagement and sales particularly during the holiday season. Moreover, Amazon is also expanding its AI tools, while its grocery benefits for Prime members are also helping boost its value proposition.

Amongst these positives, regulatory risks still exist, including the FTC settlement. Nevertheless, the overall outlook for the stock is positive which is why the firm maintains its Buy rating.

Amazon.com Inc. (AMZN) is an American technology company offering e-commerce, cloud computing, and other services, including digital streaming and artificial intelligence solutions.

While we acknowledge the potential of AMZN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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