Amazon (NASDAQ:AMZN) is well-positioned, according to Monness Crespi Hardt analysts, who maintained a Buy rating and $170 price target on the stock in a note Thursday.
Analysts said the company is nearing the end of its most demanding time of year and that it has levers to pull in 2024. The investment firm expects Amazon’s stock in the near term will "dance to the beat" of data points regarding consumer spending over the holiday season.
"However, the company has more enduring forces at work, including a tailwind from bold efficiency initiatives implemented this year, combined with the pursuit of significant, new opportunities across the company’s portfolio," said analysts.
"In the end, we believe Amazon is well positioned to benefit from digital transformation, capitalize on the cloud, innovate with AI, participate in new healthcare-related opportunities, and leverage a leaner cost structure," they added.
Despite the positives, analysts said that regulatory headwinds persist, and "the darkest days of this economic downturn are ahead of us."