Amazon (NASDAQ:AMZN) Upgraded by Cowen & Co. Amid Cloud Competition

Cowen & Co. upgraded Amazon to a "Buy" rating, despite recent challenges in the cloud sector and competition from Microsoft and Google. Amazon's stock experienced a decline following its quarterly results, primarily due to unmet investor expectations for AWS. Analysts from UBS and JPMorgan see the decline as a buying opportunity, with JPMorgan increasing their price target for Amazon.

On August 1, 2025, Cowen & Co. upgraded Amazon (NASDAQ:AMZN) to a "Buy" rating, with the stock priced at $216.23. Amazon, a global e-commerce and cloud computing giant, faces competition from companies like Microsoft and Google, especially in the cloud sector. Despite the upgrade, the action taken was to hold, reflecting cautious optimism.

Amazon's stock recently experienced a decline following its quarterly results, primarily due to unmet investor expectations for Amazon Web Services (AWS). AWS, a key revenue driver, met but did not exceed expectations, contributing to the stock's drop. In contrast, competitors like Microsoft and Google have shown stronger cloud growth, adding pressure on Amazon to enhance its cloud performance.

Despite the decline, several analysts see this as a buying opportunity. UBS analysts advise traders not to be deterred by Amazon's increasing investments in AI infrastructure. This sentiment is echoed by JPMorgan analysts, who suggest investors "buy the pullback" as Amazon's stock fell over 6% in premarket trading. They have increased their price target for Amazon to $265 from $255, indicating a potential 23% upside.

Amazon's stock is currently trading at $216.13, reflecting a decrease of 7.68% with a price drop of $17.98. The stock has fluctuated between a low of $215.09 and a high of $220.44 during the day. Over the past year, Amazon's stock has reached a high of $242.52 and a low of $151.61, showcasing its volatility in the market.

Amazon's market capitalization stands at approximately $2.29 trillion, highlighting its significant presence in the market. Today's trading volume for Amazon is 65.69 million shares, indicating active investor interest. Despite recent challenges, Amazon remains a key player in the e-commerce and cloud computing sectors.