Amazon.com, Inc. (NASDAQ:AMZN) is one of the 10 AI stocks that Jim Cramer and analysts are watching. On June 20, Oppenheimer raised its price target on AMZN shares to $250 from $215 and kept an Outperform rating. The firm cited higher margins that are now more aligned with Street expectations, supported by an improved trade outlook compared to early May. E-commerce performance remains above overall retail, with quarter-to-date growth of 3.7% year-over-year for non-store retailers, compared to 2.7% for retail excluding motor vehicles, parts, and gas. Oppenheimer noted that it is keeping its revenue forecast largely unchanged but is adjusting margins upward due to reduced trade costs.

It is worth noting that on June 18, MoffettNathanson analyst Michael Nathanson noted that the company announced the integration of Disney’s real-time ad exchange, DRAX, into its demand-side platform, one day after a similar announcement involving Roku. The firm stated that Amazon is “chipping away at The Trade Desk’s (TTD) moat,” a view it has repeated throughout the year.

A customer entering an internet retail store, illustrating the convenience of online shopping.

In addition to that, during June 6’s Mad Money episode, Cramer commented, “Amazon, well, how can you not beat, I mean Amazon’s everything. It’s retail, cloud service… web tech.”

Amazon (NASDAQ:AMZN) sells consumer products, subscriptions, and advertising through online and physical stores, while also offering electronic devices and media content. The company’s services include computing, storage, database, analytics, and machine learning, which support various AI-related workloads.

While we acknowledge the potential of AMZN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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