Morgan Stanley Raises Amazon Target to $350 and Names It a Top Pick

Morgan Stanley raised its Amazon price target to $350 from $335 and named the company a top pick, pointing to cloud growth, AI-enabled shopping and fulfillment-center robotics.

The firm forecasts 47% year-over-year growth for Amazon Web Services (AWS) in 2027. Analyst Brian Nowak highlighted Bedrock, Amazon’s AI-focused cloud service, in his outlook for the business. “We continue to think AWS’s growth and profit runway is under-appreciated,” Nowak wrote.

Nowak also sees Amazon as positioned to benefit from AI agents used in shopping. He pointed to the company’s online retail infrastructure and customer base as advantages in monetizing that activity.

New fulfillment-center builds and retrofits in 2027 could demonstrate Amazon’s potential in physical AI, Nowak said. By June 30, 2025, Amazon had deployed more than 1 million robots in over 300 facilities worldwide. Its robotics operations include mobile machines that move inventory and arms used to pick, sort and pack products.