By Sam Boughedda
Investing.com -- Deutsche Bank analyst Leo Horowitz told investors in a note that the market is under-appreciating the potential for upside in Amazon.com Inc (NASDAQ:AMZN).
Horowitz initiated the company with a buy rating and a $4,100 price target.
The analysts based the rating and price target on three factors, including retail revenue "that, post-COVID, should grow more in-line with the company's infrastructure expansion," multi-channel grocery share gains, and AWS revenue implications of the $80 billion in gross backlog additions that the company has added in 2020/21.
He added that Amazon shares present a "highly compelling" risk-reward at current price levels.
Amazon shares are trading 0.3% higher Friday after Thursday's more than 5% gain following the announcement of a $10 billion share buyback as well as the intention to undertake a 20-for-1 stock split.