Amazon stock (NASDAQ: AMZN) opened Wednesday’s trading session at $254.98, experiencing stagnant price movement with little to no growth over the past month. The shares have revolved around the $250 level since early August, making the equity risky as traders are investing more in other AI-related stocks delivering better returns, including Micron, SanDisk, and SK Hynix. Rothschild & Co Redburn has lowered Amazon’s price target, with analyst Alexander Haissl predicting a potential dip to $230 next.
Amazon stock (NASDAQ: AMZN) opened Wednesday’s trading session at $254.98 and has seen little to no growth over the past month. Prices have mostly stagnated, and AMZN has been revolving around the $250 level since early August.
This makes the equity risky, as traders are investing more in other AI-related stocks that deliver better returns. From Micron stock to SanDisk stock and SK Hynix stock, these have been delivering better returns to investors.
International equity and research firm Rothschild & Co Redburn has lowered Amazon stock’s price target. Alexander Haissl, the Global Technology research head of the firm, wrote in a note to clients on Monday, cautioning that AMZN could see new lows.
The analyst lowered the rating from buy to ‘hold,’ indicating bearishness on the e-commerce giant. He maintained a ‘hold’ rating and predicted that Amazon stock could fall to $230 next.
That marks a dip of $25 from its current price of $255, representing an approximately 10% decline from its present value. An investment of $1,000 could turn into $900 if the price prediction proves accurate.
The analyst’s cautious stance stems primarily from conservative growth expectations regarding Amazon Web Services (AWS). He wrote that growth deceleration and increasing AI competition are making Amazon stock face potential headwinds compared to broader consensus expectations.
