UBS raised its price target on Amazon (AMZN) to $348 from $318, implying about 40% upside from current levels, and kept its Buy rating. UBS forecasts AWS operating margins of 46% in 2027, versus a consensus estimate of 38%, with roughly $80 billion in incremental AWS revenue and $20 billion in depreciation and amortization expenses. To keep the operating margin near the second-quarter level of about 39%, UBS estimates Amazon would need an additional $29 billion in selling, general and administrative expenses. The shares were muted after Q2 results as investors worried that 2027 capital expenditures could exceed $300 billion and eliminate free cash flow. Amazon reports third-quarter 2026 results after market close on Thursday, October 29, with analysts expecting revenue of $202.20 billion and adjusted EPS of $1.96.
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Related tickers and likely impact
AMZN
▲ Likely positiveAmazon
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Consumer Discretionary |
| Industry | Broadline Retail |
| Market cap | $2.7T |
| Close on 10/23/2026 | 248.04 |
| Change that session | -0.93% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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