TD Cowen Raises Amazon Price Target to $315 on Advertising Growth Momentum
TD Cowen has increased its price target for Amazon (AMZN) to $315 from $300, maintaining a Buy rating as the company's advertising business shows accelerating growth. The adjustment follows a survey revealing over 60% of Amazon advertisers plan to boost spending by 2026.
Amazon's advertising revenue is projected to nearly double from $68.2 billion in 2025 to $141.7 billion by 2030. Key drivers include the company's Demand-Side Platform gaining market share and Prime Video's emerging ad capabilities. Generative AI tools are enhancing advertiser returns, creating a virtuous cycle of spending growth.
The stock currently trades at $247.12, offering 27% upside to the new target. Amazon shares hover NEAR their 52-week high of $258.60 as investors recognize the advertising segment's margin expansion potential.
