Wells Fargo Reiterates Overweight Rating on Amazon.com, Inc. (AMZN)

Amazon.com, Inc. (NASDAQ:AMZN) is among the 14 Best S&P 500 Stocks to Buy Now. On December 17, Wells Fargo analyst Ken Gawrelski maintained an Overweight rating on the stock with a price target of $295. This is a reaffirmation of the firm’s earlier update on December 2.

This follows BMO Capital’s adjustment a day earlier when it lifted the price target on the stock to $304 from $300, while keeping an Outperform rating on the shares. The firm said it had conversations with two former AWS employees, with the discussions providing insights into increased cloud commitments, which became the basis for the revision.

As of the close of business on December 17, Wall Street analysts have a consensus Strong Buy rating on the stock, with a one-year average share price target of $296.12, representing an upside of 33%.

In other news, press reports on Wednesday said that Amazon.com, Inc. (NASDAQ:AMZN) is in negotiations with OpenAI over a potential $10 billion investment that could see an agreement to use its AI chips. However, sources familiar with the matter described the talks as ‘fluid’ at this point.

The reports come at a time when the ChatGPT maker is preparing for an IPO as early as the second half of next year. If the deal goes through, the company could be valued at over $500 billion, reported Reuters.

Amazon.com, Inc. (NASDAQ:AMZN) engages in e-commerce, online advertising, cloud computing, artificial intelligence, and digital streaming.

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.

READ NEXT: 11 Most Oversold S&P 500 Stocks Heading into 2026 and Top 15 Lowest P/E Ratios of the S&P 500 in 2025.

Disclosure: None.