Citizens has reiterated its Market Outperform rating on Amazon (NASDAQ: AMZN) while maintaining a $315 price target. At the time of press, Amazon stock was trading at $261.
According to Citizens analyst Andrew Boone, Amazon benefits from best-in-class logistics operations supporting its retail business, alongside the continued strengthening of Amazon Web Services (AWS) in cloud computing and artificial intelligence.
Based on Citizens’ estimates, Amazon shares trade at 23.8 times projected 2027 GAAP earnings per share of $10.99 and 10.9 times expected 2027 EBITDA of $262 billion. The $315 price target is based on approximately 29 times the firm's 2027 GAAP earnings forecast.
Wall Street Sentiment and Fundamentals
Data from 40 analysts tracked by TipRanks shows a Strong Buy consensus rating for Amazon, consisting of 39 buy ratings, one hold rating, and no sell ratings. The average 12-month price target stands at $333, with a high forecast of $400 and a low forecast of $250.
The consensus reflects confidence in Amazon's growth following its second-quarter results reported in July, where revenue reached $200.6 billion—a 20% year-over-year increase—and operating income rose 43% to $27.5 billion. AWS generated $42.2 billion in revenue during the quarter, marking its fastest growth rate in more than four years due to rising demand for AI infrastructure.
Amazon has also raised its 2026 capital expenditure guidance to approximately $220 billion to expand its AI and cloud infrastructure capacity. While investors continue to monitor elevated spending levels and the impact of heavy AI investments on free cash flow, most firms view AWS momentum, AI expansion, and retail efficiency as positive factors for the stock.
