Wells Fargo Reiterates Overweight Rating for Amazon (AMZN) as AI Compute Demand Doubles

4 weeks ago 19

Maham Fatima

Wed, February 25, 2026 astatine 5:18 AM CST 2 min read

Amazon.com Inc. (NASDAQ:AMZN) is 1 of the best precocious measurement stocks to put successful now. On February 23, Wells Fargo lowered its terms people for Amazon.com from $305 to $304 portion keeping an Overweight rating. This sentiment was posted arsenic the steadfast identified compute capableness arsenic the captious origin for success, arsenic AI request outpaces supply. Wells Fargo projects hyperscaler capableness volition treble to 98GW by 2027, supported by $860 cardinal successful yearly superior expenditures, and expects the unreality manufacture to turn importantly faster than existent statement estimates. Earlier connected February 6, Benchmark reduced its terms people for Amazon.com Inc. (NASDAQ:AMZN) to $275 from $295 and maintained a Buy standing pursuing the company’s net report. The accommodation reflected Amazon’s program to put $200 cardinal successful superior expenditure this year, exceeding marketplace expectations by ~$40 billion. Despite the absorption to these concern estimates, Benchmark highlighted that the AWS unreality conception grew 24% year-over-year with an expanding quarterly dollar contribution, portion retail ratio improved and AWS margins remained strong.

Wells Fargo Reiterates Overweight Rating for Amazon (AMZN) arsenic AI Compute Demand Doubles

Zapp2Photo/Shutterstock.com Amazon.com Inc. (NASDAQ:AMZN) engages successful the retail merchantability of user products, advertising, and subscription services done online and carnal stores successful North America and internationally. The institution has 3 segments: North America, International, and AWS (Amazon Web Services). While we admit the imaginable of AMZN arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you’re looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock. READ NEXT: 30 Stocks That Should Double successful 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. Follow Insider Monkey connected Google News.