Morgan Stanley has adjusted its price target for Amazon.com, Inc. (AMZN, Financial), bringing it down from $280 to $245 while maintaining an Overweight rating on the stock. This revision comes after the bank made various updates to its projections, including gross merchandise volume (GMV), revenue, and tariff estimates.
The adjustments have led to a downward revision in Amazon's expected earnings per share (EPS) for fiscal year 2026, now anticipated to be $7, a decrease of 10%. This reflects the company's ongoing focus on cultivating its marketplace for buyers and sellers, as well as prioritizing long-term growth over immediate profit gains.
Amazon's relatively low retail margins suggest that it may take several quarters for investors to regain confidence in financial forecasts for the latter half of 2025 and into 2026. Despite the current challenges, Morgan Stanley remains optimistic about Amazon's potential for growth in the future.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 67 analysts, the average target price for Amazon.com Inc (AMZN, Financial) is $258.73 with a high estimate of $306.00 and a low estimate of $200.00. The average target implies an upside of 39.82% from the current price of $185.05. More detailed estimate data can be found on the Amazon.com Inc (AMZN) Forecast page.
Based on the consensus recommendation from 73 brokerage firms, Amazon.com Inc's (AMZN, Financial) average brokerage recommendation is currently 1.8, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Amazon.com Inc (AMZN, Financial) in one year is $184.40, suggesting a downside of 0.35% from the current price of $185.05. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Amazon.com Inc (AMZN) Summary page.
