Amazon (AMZN) / Jeff Bezos

[winston]

not vested

Amazon - Stock Analyst Research
Target Price* US 260.00
Recommendation BUY

Amazon.com Inc. - Price fall gives an opportunity

1Q25 revenue was in line with expectations.

1Q25 Revenue/PATMI was at 22%/26% of our FY25e forecasts.

The primary revenue driver was AWS (+17% YoY). AWS operating margin rose 1.9% YoY to 39.5%, driven by server capacity optimisation, which helps lower infrastructure cost.

AMZN is focusing on low-priced essentials to mitigate tariff uncertainty risks.

We lower our FY25e revenue estimate by 1% and PATMI by 2% to reflect the dampening of customer demand and retail margin pressure due to higher tariffs.

Due to recent share price weakness, we upgraded our recommendation from ACCUMULATE to BUY and lower our DCF target price to US$260 (prev. US$270).

The company’s strong momentum in AWS continues to scale profit meaningfully, helping offset pressures in retail.

Source: Phillips

https://www.poems.com.sg/stock-research/AMZN/