Amazon Has A Tariff Problem, Automation May Be The Solution

I reiterate my buy rating on Amazon with a price target of $244. Though AWS growth remains robust, retail sales may face certain pressures resulting from tariffs. Amazon is highly exposed to US-China tariffs, but preemptive inventory build should limit near-term impact; longer-term margin pressure is likely. Strong Prime Day sales and continued AWS growth support Amazon's outlook, with automation and AI adoption helping offset rising costs.