Cowen affirmed its price target for the company at $4,300.
Amazon stock recently traded at $3,324, up 0.73%. The stock has slid 10% in the last three months on valuation concerns.
“Our survey data [of Generation Z and millennials] suggests that Amazon continues to improve the number of touch points along a consumer's path to purchase in the apparel and accessories vertical,” said Cowen analyst John Blackledge.
“AMZN is now the top location for consumers to begin a product search, to research a product prior to an online or in-store purchase, and the leading platform to complete the purchase.”
“Our millennials survey found that AMZN is the most preferred shopping channel by a wide margin once again in 2021, despite the reopening of many traditional retail locations,” Blackledge wrote in a commentary.
“The preference for Amazon is even more pronounced among the 18-24 and 25-34 age cohorts, as 62% and 63% respectively cited Amazon as their most preferred shopping channel.”
Morningstar analyst Dan Romanoff puts fair value at $4,200 for Amazon and assigns it a wide moat.
“Consumers' online shopping levels are returning to more normal levels as they shift some spending to other entertainment sources and offline shopping,” he wrote in a July 29 commentary.
“Meanwhile, the company continues to add capacity at a breakneck pace in order to meet customer demand and one-day delivery.”