KeyCorp Forecasts Strong Price Appreciation for Amazon.com (NASDAQ:AMZN) Stock

Key Points

• KeyCorp raised Amazon’s price target to $350 from $335 and maintained an “overweight” rating, implying roughly 48.6% upside from the cited share price. Analysts broadly remain bullish, with 57 Buy ratings, three Holds, and a consensus target of $316.29.
• Amazon reported a substantial quarterly beat, generating $200.61 billion in revenue and $5.75 in EPS versus estimates of $197.03 billion and $1.82, respectively. AWS revenue rose 37%, while advertising revenue increased 26%, supporting the company’s AI and margin-growth outlook.
• High capital spending remains the principal risk: Amazon’s roughly $220 billion 2026 spending plan and AI-related cost overruns may pressure free cash flow, while third-quarter revenue guidance fell below analyst expectations.

Amazon.com (NASDAQ:AMZN) had its target price lifted by equities research analysts at KeyCorp from $335.00 to $350.00 in a research note issued on Friday,Benzinga reports. The brokerage currently has an "overweight" rating on the e-commerce giant's stock. KeyCorp's price objective would suggest a potential upside of 48.62% from the company's current price.

Several other equities research analysts have also recently weighed in on the stock. Scotiabank reiterated an "outperform" rating and issued a $325.00 target price (up from $275.00) on shares of Amazon.com in a research note on Thursday, April 30th. Barclays restated an "overweight" rating and set a $365.00 price target (up from $330.00) on shares of Amazon.com in a research note on Friday. Raymond James Financial reaffirmed an "outperform" rating and issued a $280.00 price target on shares of Amazon.com in a report on Friday, May 1st. Wedbush reissued an "outperform" rating and set a $293.00 price objective on shares of Amazon.com in a report on Thursday, July 23rd. Finally, JPMorgan Chase & Co. reissued a "buy" rating on shares of Amazon.com in a report on Friday, June 26th. Fifty-seven investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, Amazon.com has a consensus rating of "Moderate Buy" and a consensus price target of $316.29.

Amazon.com Price Performance

NASDAQ:AMZN opened at $235.50 on Friday. The stock has a market cap of $2.53 trillion, a P/E ratio of 28.17, a PEG ratio of 1.70 and a beta of 1.46. Amazon.com has a one year low of $196.00 and a one year high of $278.56. The company has a fifty day moving average price of $245.59 and a 200 day moving average price of $235.97. The company has a debt-to-equity ratio of 0.27, a current ratio of 1.18 and a quick ratio of 1.01.

Amazon.com (NASDAQ:AMZN - Get Free Report) last issued its quarterly earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share for the quarter, beating analysts' consensus estimates of $1.82 by $3.93. The firm had revenue of $200.61 billion during the quarter, compared to the consensus estimate of $197.03 billion. Amazon.com had a net margin of 12.22% and a return on equity of 19.92%. The business's revenue was up 19.6% on a year-over-year basis. During the same period in the prior year, the firm earned $1.68 EPS. Analysts anticipate that Amazon.com will post 7.76 earnings per share for the current year.

Insider Activity at Amazon.com

In other Amazon.com news, SVP David Zapolsky sold 9,270 shares of Amazon.com stock in a transaction that occurred on Friday, May 22nd. The stock was sold at an average price of $268.53, for a total transaction of $2,489,273.10. Following the sale, the senior vice president directly owned 41,190 shares of the company's stock, valued at approximately $11,060,750.70. The trade was a 18.37% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Shelley Reynolds sold 2,363 shares of the company's stock in a transaction that occurred on Thursday, May 21st. The shares were sold at an average price of $262.38, for a total value of $620,003.94. Following the completion of the sale, the vice president owned 119,780 shares in the company, valued at approximately $31,427,876.40. This represents a 1.93% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 135,719 shares of company stock valued at $36,438,002. Corporate insiders own 8.90% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of AMZN. Vanguard Group Inc. lifted its holdings in Amazon.com by 1.1% during the 1st quarter. Vanguard Group Inc. now owns 832,274,556 shares of the e-commerce giant's stock valued at $158,348,557,000 after purchasing an additional 8,913,959 shares during the last quarter. State Street Corp increased its holdings in shares of Amazon.com by 1.8% during the fourth quarter. State Street Corp now owns 388,653,121 shares of the e-commerce giant's stock worth $89,708,913,000 after buying an additional 6,971,680 shares in the last quarter. Geode Capital Management LLC increased its holdings in shares of Amazon.com by 1.1% during the fourth quarter. Geode Capital Management LLC now owns 225,120,994 shares of the e-commerce giant's stock worth $51,753,622,000 after buying an additional 2,479,324 shares in the last quarter. Norges Bank bought a new position in shares of Amazon.com in the fourth quarter valued at approximately $32,868,735,000. Finally, Auto Owners Insurance Co boosted its holdings in shares of Amazon.com by 27,376.7% in the 4th quarter. Auto Owners Insurance Co now owns 98,448,885 shares of the e-commerce giant's stock worth $2,272,397,000 after acquiring an additional 98,090,585 shares in the last quarter. 72.20% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting Amazon.com

Here are the key news stories impacting Amazon.com this week:

• Positive Sentiment: Record quarter and major earnings beat: Amazon reported revenue of $200.6 billion, up approximately 20% year over year, while adjusted earnings per share reached $5.75 versus the $1.82 consensus estimate. Operating income rose 43% to $27.5 billion. Amazon.com Announces Second Quarter Results
• Positive Sentiment: AWS growth validates AI investments: AWS revenue jumped 37% to $42.2 billion, its fastest growth in more than four years and ahead of expectations. New cloud arrangements with Meta and OpenAI, along with strong enterprise AI demand, reinforced the view that Amazon is beginning to monetize its heavy infrastructure spending. Amazon jumps as AWS growth soothes fears over rising AI spending
• Positive Sentiment: Advertising and retail also contributed: Advertising revenue climbed 26% to nearly $20 billion, while North American sales increased 16%, suggesting that Amazon’s profit growth is not dependent solely on AWS. Amazon Thrives On Big Q2 For AI, Advertising Revenue Climbs
• Positive Sentiment: Analysts raised targets: Baird lifted its target to $310, JPMorgan to $365, and Bank of America to $320, citing accelerating AWS growth, AI momentum, and potential margin expansion. Citi maintained its Buy rating and $325 target. J.P. Morgan Amazon price target
• Neutral Sentiment: Zoox reached a regulatory milestone: Amazon’s autonomous-vehicle unit received approval to begin limited paid robotaxi rides, providing a potential long-term growth option but little immediate earnings impact. Amazon's Zoox wins first US approval for paid robotaxis
• Negative Sentiment: Capital spending remains the key risk: Amazon’s approximately $220 billion 2026 spending plan and reported AI-related cost overruns could pressure free cash flow. Third-quarter revenue guidance of $197 billion to $202 billion also came in below the $204.6 billion analyst consensus, tempering the otherwise bullish outlook.

About Amazon.com

Amazon.com, Inc is a diversified technology and retail company best known for its e-commerce marketplace and broad portfolio of consumer and enterprise services. Founded by Jeff Bezos in 1994 and headquartered in Seattle, Washington, the company launched as an online bookseller and expanded into a global retail platform that sells products directly to consumers and provides a marketplace for third-party sellers. Over time Amazon has grown beyond retail into areas including cloud computing, digital media, devices and logistics.

Key businesses and offerings include Amazon's online marketplace and fulfillment services, the Amazon Prime membership program (which bundles expedited shipping with streaming and other benefits), Amazon Web Services (AWS) which supplies on-demand cloud computing and storage to businesses and public-sector customers, and a range of content and advertising services such as Prime Video and Amazon Advertising.

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