On August 8, 2025, NLX announced a collaboration with Saks Fifth Avenue and AWS, aimed at enhancing customer interactions through AI-powered experiences, which may have contributed to Amazon.com‘s stock price increasing by 15% last quarter. This partnership, leveraging NLX Voice+ and Amazon Connect, aims to improve service efficiency and customer satisfaction, and represents a notable advancement in the company’s offerings. The period also saw the broader technology sector and the Nasdaq Composite Index reach record highs, supporting Amazon’s gains. Additionally, the company’s positive Q2 2025 earnings further aligned with the strong performance in tech stocks, reflecting robust market trends.

Amazon.com has 1 risk we think you should know about.

AMZN Earnings Per Share Growth as at Aug 2025 AMZN Earnings Per Share Growth as at Aug 2025

Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence.

The collaboration between NLX, Saks Fifth Avenue, and AWS highlights Amazon’s strategic focus on leveraging AI to enhance customer interactions. This aligns with Amazon’s narrative that emphasizes cloud transition and AI adoption as central components of its long-term growth plan. The initiative could further drive AWS’s high-margin growth by integrating AI solutions into its service offerings, potentially bolstering Amazon’s revenue and earnings forecasts.

Over a three-year period, Amazon’s stock achieved a total return of 55.13%, underscoring its capacity for delivering substantial shareholder value over the long term. In comparison to the industry, Amazon’s earnings grew by a notable 59% over the past year, exceeding the Multiline Retail industry’s growth of 2.2%, as well as the broader market’s rise of 20.2%. This reflects Amazon’s resilience and competitive edge in a rapidly evolving sector.

The recent price target of US$260.71 indicates that Amazon’s current stock price of US$222.69 trades at a discount. The anticipated revenue growth and margin improvement in Amazon’s future trajectory, as outlined by analysts, suggest a promising outlook, despite potential challenges in global trade and increased competition. The new collaboration, enhancing AWS services, aligns with these growth expectations and could lend further credibility to the analysts’ forecasts, though it’s crucial for investors to remain informed about potential risks related to operational costs and regulatory scrutiny.

According our valuation report, there’s an indication that Amazon.com’s share price might be on the cheaper side.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.