Top 30 Global Ideas for 2026

Research evidence excerpt

Top 30 Global Ideas for 2026

Top 30 Global Ideas for 2026 – Third-Quarter Update

Amazon.com, Inc. (NASDAQ: AMZN) Rating: Outperform Closing Price: USD 244.16

RBC Capital Markets, LLC Price Target: USD 320.00 Implied All-in Return (%): 31.1

Brad Erickson (Analyst) (971) 842-9607, brad.erickson@rbccm.com

Investment summary Risks to rating and price target Exhibit 7 - Share performance and RBC valuation

AMZN is one of the internet’s largest true alpha dogs, in Risks to rating and price target include: (1) challenging

our view. The company’s unmatched scale and integration of ongoing capacity expansion; (2) less sticky

advantage in verticalized e-commerce combined with its or reversionary e-commerce trends post-pandemic; (3)

industry-leading cloud business gives it many shots on less successful Prime membership adoption in

goal for future growth opportunities in new verticals. international markets leading to slowing growth and less

Our channel checks indicate that the burgeoning margin expansion than expected; (4) inability to secure

advertising business in particular has a massive rights to meaningful sports & entertainment content,

opportunity to drive accretive growth. Regulatory particularly in Europe; (5) a lack of improvement to the

scrutiny is inevitable but carries relatively low risk to advertising platform’s targeting algorithms and

long-term equity value, in our view. conversion leading to slowing growth; (6) intensifying

competition in cloud; and (7) global macroeconomic

Valuation slowdown. Source: Bloomberg and RBC Capital Markets estimates for Target

The stock trades at a slight discount to the group.

Reasons for the discount are valid in some ways given

Exhibit 8 - Forward consensus EV/EBITDA historythe law of large numbers limiting growth rates and the