Oppenheimer analyst Jason Helfstein raised the price target on Amazon (AMZN) stock to $250 from $215, implying 19.2% upside potential from current levels. The top analyst maintained his “Buy” rating on the stock, citing a favorable trade outlook and solid margins. Helfstein is encouraged by Amazon.com’s continued outperformance relative to the broader e-commerce sector.
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Helfstein has remained a “Buy” on Amazon stock since initiating coverage. He has a 74% success rate on his AMZN stock recommendations, with an average return per rating of 15.66%.
Helfstein Updates Amazon’s E-Commerce Margin Outlook
The analyst raised Amazon’s e-commerce segment gross margin estimates to 9.1% and 10.5% for fiscal years 2025 and 2026, respectively. He attributed the improved margin expectations to “lower trade costs.” On the other hand, Helfstein left Amazon Web Services (AWS) estimates unchanged but noted the possibility of a gradual ramp-up in the second half of 2025 as capacity becomes available. Helfstein added that his revised margins are now closer to the Street’s consensus.
The analyst also highlighted CEO Andy Jassy‘s plans to leverage artificial intelligence (AI) to manage the company’s long-term headcount growth. Amazon is increasingly adopting automation and robotics to control its corporate workforce size. At the same time, the company has asked thousands of corporate employees to relocate to its offices in Seattle, Arlington (Virginia), or Washington, D.C., to be closer to their managers and team members. All of these measures are aimed at improving the company’s margins.
Is AMZN a Long-Term Buy?
Indeed, analysts continue to remain highly optimistic about Amazon’s long-term stock trajectory. On TipRanks, AMZN stock commands a Strong Buy consensus rating based on 43 Buys and one Hold rating. Also, the average Amazon price target of $241.49 implies 15.2% upside potential from current levels. Year-to-date, AMZN stock has lost 4.4%.
