Amazon.com, Inc. (NASDAQ: AMZN) heads into Thursday’s session riding a wave of bullish analyst calls, huge AI investment headlines and a fresh Federal Reserve rate cut — all against the backdrop of a still‑sluggish 2025 share-price performance.
Below is a full rundown of what happened with Amazon stock on December 10, 2025, and the key things to know before the market reopens on Thursday, December 11, 2025.
Key takeaways
- Amazon stock climbed about 1.7% on Wednesday, trading around $231–232 by late afternoon, up from Tuesday’s close of $227.92, and valuing the company near $2.4 trillion. [1]
- Guggenheim and TD Cowen both doubled down on bullish calls, each with a $300 price target, citing accelerating AWS growth, stronger retail and advertising trends, and margin expansion into 2026. [2]
- Amazon announced or highlighted AI‑heavy global investments, including a planned $35 billion investment in India by 2030 and more than $200 billion of 2025 infrastructure commitments worldwide, plus an expansion of same‑day grocery delivery to 2,300+ U.S. communities. [3]
- On the risk side, the company agreed to pay €510 million (~$582 million) to settle a tax probe in Italy, while prosecutors in Milan say they will keep investigating, keeping some regulatory overhang in place. [4]
- Wall Street’s consensus on AMZN remains strongly positive: average 12‑month price targets cluster around $295–296, with the vast majority of analysts rating the stock a Buy, and several independent valuation models still calling it undervalued. [5]
How Amazon stock traded on December 10, 2025
By late Wednesday trading, Amazon shares were changing hands just above $231, up roughly 1.7% on the day and building on Tuesday’s close at $227.92. [6]
That puts AMZN:
- Within sight of the upper third of its 52‑week range (roughly $161.38 – $258.60),
- On a modest single‑digit gain for 2025 year‑to‑date, after a choppy, AI‑driven sell‑off in late October and November, and
- Still well below its 2025 highs near the mid‑$250s. [7]
A technical read from StockInvest.us notes that despite the recent bounce, AMZN’s short‑ and long‑term moving averages still flash near‑term “sell” signals, with important support around $222.86 and resistance near $231.48–$232.63. [8]
Market backdrop: The move came on a broader risk‑on day for U.S. equities. Major indexes rallied after the Federal Reserve delivered a widely anticipated 25‑basis‑point rate cut, its third cut of 2025, and signaled only a limited path for further easing in 2026. [9]
For long‑duration growth names like Amazon, lower policy rates and a softer path for future hikes generally support higher valuations by reducing discount rates on future cash flows — a macro tailwind that traders were clearly willing to lean into today.
Why Amazon shares moved higher: today’s big headlines
1. Guggenheim initiates coverage with a $300 target
One of the clearest intraday catalysts: Guggenheim initiated coverage of Amazon with a Buy rating and a $300 price target. [10]
Key points from that initiation:
- The firm said the holiday season “brought the cheer” for Amazon, with strong sales trends despite macro uncertainty. [11]
- Tariffs are described as “manageable” so far — an important datapoint given ongoing trade tensions and policy shifts. [12]
- Guggenheim’s thesis leans heavily on AWS maintaining cloud leadership against Microsoft Azure and Google Cloud, and on margin expansion via warehouse automation and logistics efficiencies. [13]
- The note highlights Amazon’s rapidly growing grocery and same‑day delivery footprint, including fresh grocery delivery in over 2,300 U.S. cities, as a structural driver of higher order frequency and Prime stickiness. [14]
Benzinga’s intraday report on AMZN’s move echoed this, emphasizing that the stock was trading higher on Wednesday on the back of Guggenheim’s upbeat coverage and a major AI investment announcement in India, with shares up around 1.3–1.5% at the time of publication. [15]
2. TD Cowen names Amazon its “Top Mega Cap Internet Pick”
Separately, TD Cowen reiterated Amazon as its “Top Mega Cap Internet Pick” in a fresh note, also with a $300 price target. [16]
Why that matters:
- Cowen identifies three core drivers for 2026:
- Re‑accelerating AWS revenue growth driven by core and AI workloads,
- Momentum in e‑commerce and advertising, and
- Continued operating margin expansion. [17]
- The firm expects AWS revenue growth to accelerate in Q4 2025 and again in 2026–2027, as AI infrastructure build‑outs ramp. [18]
- Cowen projects 2026 operating income of about $104 billion, roughly 4% above current consensus, implying GAAP operating margins near 12.8% — a powerful profitability story compared with Amazon’s pre‑AI‑investment years. [19]
This dovetails with a broader pattern: MarketBeat’s analysis shows an average analyst target near $295.43, based on 57 Buy ratings and 3 Holds, for an overall “Moderate Buy” consensus. [20]
3. Zacks/TradingView: global AI and cloud build‑out could drive 2026
A Zacks piece syndicated via TradingView goes a level deeper into Amazon’s 2025–2026 investment cycle, framing AMZN as a near‑term buy on global expansion and AI infrastructure. [21]
Highlights from that analysis:
- Amazon announced a $35 billion investment in India by 2030, alongside more than $23 billion committed to new AWS regions across Asia‑Pacific and Latin America. [22]
- In 2025 alone, Amazon has launched new AWS regions in Thailand, Mexico, Taiwan and New Zealand, with another region planned for Chile in 2026 — collectively part of over $200 billion in global investment announcements. [23]
- Q3 2025 revenue came in at $180.2 billion, up 13% year‑over‑year, with AWS revenue of $33 billion growing 20%, its fastest pace since 2022. Operating income reached $17.4 billion, and management is guiding to around $125 billion in 2025 capex, with similar levels planned for 2026, largely aimed at AI infrastructure. [24]
- Zacks notes the 2025 EPS consensus of $7.17, up nearly 30% year‑on‑year, and argues that Amazon’s forward P/E around the high 20s is well below its five‑year average near 52, leaving room for multiple expansion if AWS growth re‑accelerates. [25]
The article concludes with a Zacks Rank #2 (Buy) on AMZN, supporting the theme that today’s move is grounded in fundamentals, not just Fed euphoria. [26]
4. Core business momentum: groceries, India and AI
Beyond Wall Street research, Amazon spent the day in the headlines for concrete operating moves:
- Grocery and last‑mile delivery:
- Amazon said its same‑day perishable grocery delivery now reaches more than 2,300 U.S. communities, and that it’s on track to deliver at its fastest speeds ever for Prime members for a third straight year, with further expansion planned into 2026. [27]
- This pushes Amazon deeper into territory dominated by traditional grocers and delivery players, and could be particularly important as consumers feel more rate relief from the Fed.
- India and AI infrastructure:
- Amazon plans to invest $35 billion in India through 2030 to enhance AI digitization, export growth and job creation, building on about $40 billion already invested in the country, including infrastructure and employee compensation. [28]
- A separate Watcher.Guru report notes that Amazon and Microsoft together will deploy around $52.5 billion in India to build hyperscale data centers aimed at AI workloads, with Amazon’s piece at $35 billion and Microsoft’s at $17.5 billion. [29]
For investors, these stories reinforce a consistent narrative: Amazon is using its cash‑rich AWS and advertising businesses to double down on AI and logistics, both at home and in strategic growth markets.
5. Italian tax settlement: clearing (some) regulatory clouds
Not all of Wednesday’s headlines were purely bullish. Reuters reported that Amazon agreed to pay €510 million (about $582 million) to Italy’s tax collection agency to settle a dispute over past taxes. [30]
Crucially:
- The settlement reduces the near‑term uncertainty around a large tax bill, but
- Prosecutors in Milan say they intend to keep investigating, meaning legal and reputational risk in Italy isn’t fully closed out yet. [31]
The stock market’s reaction suggests investors view this as more of a cleanup cost than a thesis‑breaker, especially in light of Amazon’s double‑digit revenue growth and rising margins.
Fundamentals and valuation check heading into 2026
If Wednesday’s price move felt strong, it’s worth remembering that 2025 has been an underwhelming year for AMZN versus the broader market.
A detailed 24/7 Wall St analysis earlier this week notes: [32]
- Amazon has underperformed the S&P 500 in 2025, even after an October earnings pop.
- Shares are up only low‑single digits year‑to‑date and around 1–2% over the past year, despite a three‑year gain above 150%, according to Simply Wall St. [33]
- Q3 2025 earnings beat expectations, with EPS of $1.95 vs. $1.57 consensus and revenue of about $180.17 billion vs. $177.8 billion expected, while AWS produced $33 billion and advertising $17.7 billion in revenue. [34]
On valuation:
- MarketBeat pegs Amazon’s average analyst target at roughly $295.43, with one Strong Buy, 57 Buys and 3 Holds, and no Sell ratings. [35]
- 24/7 Wall St quotes a median Street target around $295.63, and offers its own 2025 year‑end fair value of $250.85 — about 10% upside from today’s price — with a base‑case path to roughly $525 per share by 2030 if revenue climbs toward $1.15 trillion and net income to about $131 billion. [36]
- Simply Wall St estimates a DCF‑based fair value of about $304.65 per share versus a then‑current price near $229.53, implying roughly 25% undervaluation, even though Amazon already trades at a premium P/E multiple to many retailers. [37]
Institutional money seems to agree with the long‑term story: Cumberland Partners Ltd recently increased its Amazon stake by 8.8% to 225,700 shares, making AMZN its sixth‑largest holding and about 3.4% of its portfolio. [38]
From a purely technical standpoint, though, StockInvest’s model still labels AMZN a short‑term “sell candidate”, citing negative moving‑average crossovers and warning of medium volatility with daily moves around 1.5–1.8%. [39] That’s a reminder that near‑term entry points still matter, even when the long‑term story looks strong.
Macro backdrop: Fed’s December rate cut and why it matters for AMZN
The Federal Reserve’s December 10 decision is arguably the biggest macro story overshadowing everything else today.
Key facts: [40]
- The Fed cut the federal funds rate by 25 basis points for the third time this year, bringing the target range down to 3.50%–3.75%, the lowest since late 2022.
- The FOMC was unusually divided, with several members dissenting, and policymakers now signaling just one cut in 2026, dialing back expectations for a long easing cycle.
- Commentary from Fed watchers suggests the move is as much about cushioning a softening labor market as it is about fighting inflation, which has cooled from its peaks but remains a risk. [41]
For Amazon and other mega‑cap growth stocks, the implications are:
- Lower discount rates make future cash flows from AI, cloud and logistics projects more valuable today, supporting higher multiples.
- A healthier labor market and somewhat easier financial conditions can sustain consumer spending, benefiting Amazon’s e‑commerce, grocery and subscription businesses.
- On the flip side, a divided Fed and cautious guidance for 2026 could keep volatility elevated if economic data disappoint in the months ahead.
What to watch before the market opens on Thursday, December 11, 2025
Here’s what Amazon investors may want to have on their radar before the bell rings tomorrow.
1. Fresh economic data
According to Reuters’ day‑ahead preview, several important U.S. data releases hit on Thursday morning: [42]
- Weekly jobless claims, with initial claims expected to rise to around 220,000 from 191,000.
- September trade balance, where the deficit is forecast to widen to about $63.3 billion from $59.6 billion.
- Wholesale inventories, expected to tick up 0.1% month‑on‑month.
Why it matters for AMZN:
- Higher‑than‑expected jobless claims could reignite fears of slowing consumer demand — not great for retail or Prime sign‑ups.
- Trade data and inventories help shape the macro view on goods demand and supply chains, which feeds into Amazon’s logistics and third‑party seller ecosystem.
2. Earnings and sector read‑throughs
Thursday’s corporate calendar isn’t about Amazon directly, but some names set to report or make headlines could influence sentiment toward AMZN and other growth stocks: [43]
- Broadcom (AVGO) is expected to report robust revenue growth tied to custom AI chips. Strong AI‑infrastructure demand is usually good news for AWS, which relies on similar trends.
- Costco (COST) will offer a fresh look at consumer spending on essentials, helpful context for Amazon’s own grocery and household goods business.
- Lululemon (LULU) results may serve as a gauge of discretionary spending at higher‑income households — a customer segment that’s important to Amazon’s higher‑ticket categories.
Any surprises — positive or negative — could spill over into Amazon’s sector, especially given the stock’s “Magnificent Seven” status.
3. Technical levels and sentiment into the open
From a trading standpoint, here are a few levels and dynamics worth watching based on Wednesday’s close and technical analysis: [44]
- Resistance:
- Short‑term resistance sits near $231.5–$232.5. If AMZN can gap above and hold this zone, it may embolden momentum traders chasing an end‑of‑year rally.
- Support:
- Accumulated volume suggests support around $222.86; a sharp reversal back toward that level would indicate that Wednesday’s move was more of a Fed‑day head fake than a durable breakout.
- Volatility:
- With an average daily range around 1.5–2%, it doesn’t take much news to move the stock $4–5 in either direction during a single session.
Traders heading into Thursday’s open will likely anchor to these levels while watching how futures react overnight to new Fed commentary, macro headlines and AI‑related earnings.
Bull vs. bear: how the story looks going into December 11
Bull case into tomorrow’s open
- Macro tailwind: A fresh Fed cut and supportive financial conditions help justify Amazon’s premium valuation and boost the appeal of its long‑dated AI and cloud investments. [45]
- Growth engines firing: AWS, advertising and high‑frequency businesses like grocery and same‑day delivery are all showing strong growth trajectories and heavy investment backing. [46]
- Wall Street backing: Multiple new or reiterated Buy ratings, price targets clustered around the high‑$200s, and institutional buying (like Cumberland Partners) suggest the professional money crowd is still onboard. [47]
- Valuation still not extreme by historical standards: P/E multiples sit well below Amazon’s own five‑year average and below several DCF‑based fair‑value estimates. [48]
Bear case into tomorrow’s open
- Capex and AI spending remain enormous, with guidance calling for $125 billion‑plus in 2025 capex and similar levels in 2026, which could pressure free cash flow if macro conditions soften. [49]
- Regulatory risk isn’t going away, as shown by the Italian tax settlement and Milan prosecutors’ decision to push ahead with their investigation. [50]
- Technical signals still look mixed, with some models flagging AMZN as a short‑term sell candidate and pointing to negative moving‑average trends. [51]
- Competition in cloud and AI is intensifying, with Microsoft Azure and Google Cloud growing faster than AWS in percentage terms, even if AWS remains larger in absolute revenue. [52]
Bottom line
After the bell on December 10, 2025, Amazon sits at an interesting crossroads:
- The stock finally showed some life, moving higher on the back of a Fed tailwind, bullish analyst calls and eye‑catching AI and logistics investments.
- The fundamental story — AWS, ads, global AI infrastructure, grocery penetration — looks stronger than the 2025 share‑price chart would suggest.
- At the same time, regulatory risks, heavy capex and mixed technicals mean the path from here is unlikely to be a straight line.
For investors watching the name before Thursday’s open, the key will be how AMZN trades around the low‑$230s, how markets digest fresh macro data and whether the risk‑on mood sparked by the Fed cut can survive another day of headlines.
As always, this overview is for informational purposes only and is not financial advice or a recommendation to buy or sell any security. Consider your own risk tolerance, time horizon and financial situation — and, if needed, consult a licensed financial advisor — before making any investment decisions.
References
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