Wolfe Research Raises Amazon (AMZN) Price Target as AWS Business Gains from AI and Data Center Investments

Amazon.com Inc. (NASDAQ:AMZN) ranks among the best FAANG+ stocks to invest in right now. Wolfe Research raised its target for Amazon.com Inc. (NASDAQ:AMZN) to $255 from $250 on March 10, retaining an Outperform rating on the company’s shares. The firm cited undervalued growth in AWS, which is driven by AI demand and increasing data center capacity. Over the next three years, the firm expects annual revenue growth of approximately 30%, which is higher than Wall Street’s forecast of about 25%.

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Wolfe bases its forecasts on several factors, including increased demand for AI computing and collaboration with major corporations. According to the firm, Anthropic may produce approximately $15.2 billion in AWS-related revenue by 2026 through cloud computing utilization, exposure to Amazon’s Trainium chips, and revenue-sharing relationships.

Wolfe added that AWS might profit from increased data center capacity and consistent…