Top Pick on Accelerating AWS vs. Discounted Valuation

Research evidence excerpt

Top Pick on Accelerating AWS vs. Discounted Valuation

USA | Internet

Amazon.com, Inc EquityJulyResearch13, 2026

COMPANY UPDATETop Pick on Accelerating AWS vs. Discounted

RATING BUYValuation

PRICE $245.34^

Our 685-person proprietary survey showed 54% of AMZN shoppers spent >10%

more y/y on June Prime days and AMZN remains a preferred destination. On PRICE TARGET | % TO PT $320.00 | +30%

AWS, backlog should accelerate from Q1's 93% y/y and approach half a $ 52W HIGH-LOW $278.56 - $196.00

trillion, giving confidence on continued AWS sales acceleration (Q2 bogey 33% FLOAT (%) | ADV MM (USD) 90.1% | 13,833.94

+ vs. JEF ~32%, from Q1 28%). At ~12x NTM EV/EBITDA, AMZN trades at 1/3 MARKET CAP $2.7T

(6pt) discount to 18x blended GOOGL 17x / WMT 19x and is a top pick among TICKER AMZN ^Prior trading day's closing price unless otherwise

hyperscalers. noted.

Proprietary survey says the Prime shopper isn't pulling back, and Amazon still gets the dollars. FY (Dec) CHANGE TO JEFe JEF vs CONS

Key takes from our 685-person survey: 1) Prime members spent bigger this Prime Day; 61% 2026 2027 2026 2027

returning participants & 54% spent over >10% more y/y. 2) Higher prices aren't a headwind; 25% REV* NA NA +9% +6%

shop AMZN more to chase value amid inflation. 3) AMZN holds a shipping, selection, and UI moat;

NA NA NA NA

WMT's only wedge is price. 4) Rufus is early (57% unaware/non-users) but ramping, with 80% of

users finding it helpful, and regular Rufus users spending more. Counter to that, our logistics expert *Rev. (MM)

noted media coverage of Prime Day order size being down y/y, which could hurt margins vs. fixed

delivery costs (recap here). Bottom line, we expect resilient AMZN core retail as it attracts value-