Amazon Scores a 'Perfect 10' as Wall Street Bets on Its AI and Cloud Comeback

Amazon (AMZN, Financials) received a Perfect 10 Smart Score the highest grade attainable, indicating that analysts and big investors are behind the stock.

Amazon is hopeful because it is releasing new AI-powered devices and Amazon Web Services is growing. The average price objective for analysts is $267.88, which is 21% higher than where it is now.

In the past few weeks, Amazon has come out with a new line of Echo speakers, Fire TVs, and Ring cameras that work with Alexa+. Analysts say these products keep consumers connected to Amazon's devices, Prime services, and e-commerce ecosystem, strengthening its hold.

Institutional investors seem to agree. Hedge funds boosted their Amazon holdings by about 14.2 million shares last quarter, reflecting rising confidence in the company's long-term growth path. Technical indicators also remain positive, showing that momentum is still in Amazon's favor.

Wells Fargo and Goldman Sachs have both raised their targets to $280 and $275 respectively pointing to improving demand for cloud and AI services as key growth catalysts.

With shares up more than 22% over the past year, Amazon's mix of innovation, data-driven products, and a rebound in AWS is giving investors more reasons to stay bullish heading into 2026.