Morgan Stanley Raises Amazon Price Target to $350

Morgan Stanley raised its price target for Amazon shares to $350 from $335, naming the company a top investment pick. The investment bank maintains an overweight rating and projects a 40% upside from the previous Friday's close.

Analyst Brian Nowak attributes the bullish outlook to underappreciated growth and profit potential within Amazon Web Services, specifically the AI-focused cloud service Bedrock. Morgan Stanley forecasts that AWS will achieve 47% year-over-year growth by 2027.

The bank also identifies Amazon as a primary beneficiary of agentic AI shopping and a potential leader in physical AI. This potential is linked to the expansion and retrofitting of robotics fulfillment centers planned throughout 2027. This position aligns with broader market sentiment, as LSEG data shows 62 out of 64 analysts covering the company hold a buy or strong buy rating.