Benchmark Boosts Amazon (AMZN) Price Target Amid Accelerating AWS Momentum and Long-Term Growth Plans

Amazon.com, Inc. (NASDAQ:AMZN) ranks among the best long-term stocks to buy according to D. E. Shaw. Benchmark reaffirmed its Buy rating on Amazon.com, Inc. (NASDAQ:AMZN) and boosted its price target from $260 to $295 on October 31. Despite continuous investment phases, the price target rise reflects rising confidence in Amazon’s growth trajectory, representing a 13.5% boost from Benchmark’s previous assessment.

According to Benchmark, Amazon’s AWS cloud segment grew by 20% in the third quarter, surpassing the firm’s forecast that it would reach this milestone in the fourth quarter.

Amazon.com, Inc. (NASDAQ:AMZN) expects fourth-quarter revenue to range between $206 billion and $213 billion, generally in line with Wall Street expectations. Furthermore, the company boosted its capital expenditure forecast for this year, stating that it now plans to spend $125 billion in 2025, up from $118 billion previously. According to CFO Brian Olsavsky, that figure is projected to rise in 2026.

That said, with reference to recent data center expansions and satellite launches that are driving free cash flow into negative territory, Benchmark admitted that Amazon.com, Inc. (NASDAQ:AMZN) can be “difficult to own” during investment periods.

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

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