Amazon Hits All-Time High; Analysts See Strong Future Growth Potential
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 12h ago
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Source: NASDAQ.COM
- Stock Performance: Amazon (NASDAQ: AMZN) reached an all-time high in November 2025, with an average annual growth rate of 24% over the past 25 years and an impressive 40% over the last three years, indicating robust growth momentum.
- Valuation Analysis: Despite a modest 5% increase in 2025, its forward P/E ratio of 28 is significantly below the five-year average of 44, suggesting that the stock may be undervalued and could attract investor interest.
- Market Leadership: Amazon is not only a massive online marketplace but also a leader in cloud computing, with its AWS business and rapidly growing advertising division providing strong growth drivers for the future.
- Competitive Advantages: With multiple competitive advantages such as network effects and economies of scale, Amazon is well-positioned for future stock price growth, even though it was not included in the analysts' top investment picks at this time.
Analyst Views on AMZN
Wall Street analysts forecast AMZN stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AMZN is 294.71 USD with a low forecast of 250.00 USD and a high forecast of 340.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
43 Analyst Rating
40 Buy
3 Hold
0 Sell
Strong Buy
Current: 230.820
Low
250.00
Averages
294.71
High
340.00
Current: 230.820
Low
250.00
Averages
294.71
High
340.00
About AMZN
Amazon.com, Inc. provides a range of products and services to customers. The products offered through its stores include merchandise and content it has purchased for resale and products offered by third-party sellers. The Company’s segments include North America, International and Amazon Web Services (AWS). It serves consumers through its online and physical stores and focuses on selection, price, and convenience. Customers access its offerings through its websites, mobile apps, Alexa, devices, streaming, and physically visiting its stores. It also manufactures and sells electronic devices, including Kindle, Fire tablet, Fire TV, Echo, Ring, Blink, and eero, and develops and produces media content. It serves developers and enterprises of all sizes, including start-ups, government agencies, and academic institutions, through AWS, which offers a set of on-demand technology services, including compute, storage, database, analytics, and machine learning, and other services.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
