Why Amazon Stock Is Gaining Today

Amazon (NASDAQ: AMZN) stock is gaining ground in Tuesday's trading. The company's share price was up 2.7% as of 3 p.m. ET. Meanwhile, the S 500 index was up 0.4%, and the Nasdaq Composite index was up 0.5%

Amazon is climbing today thanks to bullish coverage on the stock published by Redburn Atlantic. The firm maintained a buy rating on Amazon and raised its one-year price target on the stock from $225 per share to $235 per share. As of this writing, the new price target suggests additional potential upside of roughly 14%.

Redburn's analysts cited Amazon's strong market positioning and competitive moats as reasons for raising their price target on the stock. The tech giant has the benefit of an encompassing artificial intelligence (AI) ecosystem. Amazon Web Services (AWS) continues to lead the cloud-infrastructure market and is a go-to destination for building, deploying, and scaling AI applications. Redburn's analysts believe that Amazon's strong networking foundations and emerging AI accelerators will continue to drive wins for AWS.

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Source Fool.com