Summary:
⚈ AI cites AWS growth, trade deal, and July Prime Day as key drivers
⚈ Wall Street mostly agrees, with 69 of 73 analysts rating AMZN a buy
Amazon (NASDAQ: AMZN) has recorded a strong recovery since hitting lows near $167 in mid-April. The Monday, May 12, pre-market rally supercharged the equity, as it rose 9.10% from its latest close at $193.06 to its press time price of $210.62.
Interestingly, the advanced artificial intelligence (AI) of DeepSeek’s R1 model estimates that the positivity is likely to persist to the end of 2025, as the platform estimated a plausible price target for AMZN shares for December 31 stands at $250.
According to AI’s analysis, Amazon stock’s overall situation paints a highly bullish picture. The e-commerce and technology giant recently published a strong earnings report, with high investments and strong growth for AWS, especially backing the 18.69% forecasted upside.
Why Amazon stock could rally to $250 by December 31, 2025
The trade deal breakthrough in Switzerland further strengthened the case for a continued AMZN rally, as the more favorable tariff situation could benefit AMZN’s margins.
Overall, DeepSeek divided its price target case into three main components: it estimated that a 15-20% price increase from press time levels is in line with Amazon shares’ historic performance and that the extended session breakout generated significant momentum.
Similarly, the AI believes that potential future developments such as exciting announcements during the July Prime Day, high-tech product launches, and further refinements in the trade deal between the world’s two biggest economies could serve as powerful catalysts.
Wall Street is as bullish about AMZN stock as DeepSeek AI
DeepSeek’s assessment falls broadly in line with the analyst consensus, though its forecast is somewhat more bullish than the average price target.
AMZN shares are expected to rally 16.09% to $239.03 within the coming 12 months. The most optimistic prediction sees them rise to $290, and the lowest estimates only a limited, 5.30% downside to $195.
However, R1’s general bullishness and faith in Amazon stock’s continued strength align with Wall Street analysts. Out of the 73 ratings represented on the stock analysis network TradingView, 69 present AMZN as either a ‘buy’ or a ‘strong buy,’ 4 are ‘neutral,’ and none consider the equity a ‘sell,’ as per the data Finbold retrieved on May 12.
Featured image via Shutterstock
