JP Morgan analysts remain bullish on Amazon.com Inc (NASDAQ:AMZN) and expect the company’s Amazon Web Services (AWS) growth to accelerate during the second half of the year, driven by core cloud growth and AI led by Anthropic and Project Rainier.
In a note to clients on Tuesday, the analysts wrote that they also see Amazon benefitting from better-than-expected consumer spending, while viewing its valuation as being attractive on a price-to-earnings and free cash flow basis.
They currently have an ‘Overweight’ rating on Amazon stock with a $265 per share price target.
The analysts also have Alphabet Inc (NASDAQ:GOOG) as a Top Pick due to increased investor recognition of Google’s AI products and optimism towards its Gemini 3.
They have an ‘Overweight’ rating and target price of $260 per share on Alphabet stock, seeing strong momentum in Google’s AI innovations and customer wins.
As well, Meta Platforms Inc (NASDAQ:META, ETR:FB2A, SWX:FB) remains a Top Pick for JP Morgan analysts, who have an ‘Overweight’ rating and $875 per share price target on the stock.
They are bullish on the company’s AI Ad improvements, Reels, and Video.
The analysts also noted that Meta continues to execute well across its AI strategy and push toward personal superintelligence, prioritizing ads, engagement, business messaging, Meta AI, and AI Devices.
The analysts at JP Morgan have Spotify Technology SA (NYSE:SPOT) Pinterest Inc, and Uber Technologies Inc (NYSE:UBER, ETR:UT8) as their other Top Picks in the internet space.