Amazon Stock: Could AWS and AI Push Shares to $350 in 2027?

Amazon stock 2027 forecasts from TD Cowen, KeyBanc and Truist Securities all land on $350 a share, which is about 43% above the $245.46 price on September 29. The average Amazon stock price target is lower right now, at around $329, and JPMorgan goes further at $365. So, will AMZN stock grow that much? The Amazon stock 2027 bull case rests on AWS growth, a $496 billion backlog and fully booked AI chips, and that mix drives the most bullish Amazon stock price prediction for 2027.

Amazon Stock Price Target, AWS Growth And AI Upside In 2027

Where Amazon Shares Trade Right Now

Amazon shares slipped about 0.28% to $245.46 on Tuesday morning, and that leaves them around 1.7% under GuruFocus’s $249.70 GF Value estimate. The dip has not moved most Amazon stock 2027 targets.

TD Cowen raised its Amazon stock price target to $350 from $340 after second-quarter revenue and operating income beat estimates by 2% and 11%. KeyBanc and Truist followed with $350 calls of their own, so three big firms now share the same Amazon stock price prediction for 2027.

AI Chips And The Cloud Carry The $350 Case

AWS growth came in at 36.7% in the second quarter, and Amazon’s chip and AI businesses have also each crossed a $25 billion yearly run rate.

Amazon CEO Andy Jassy had this to say on the Q2 call:

“Revenue growth of 36.7% year-over-year, accelerating for the fifth straight quarter, our fastest growth in 18 quarters back when AWS was less than half its current revenue size. We added over $4.6 billion in revenue quarter-over-quarter, about 80% more than our largest increase ever. Our backlog stands at $496 billion, growing triple digits year-over-year.”

This week, AWS also added OpenAI’s GPT-6 Sol and Luna and Anthropic’s Claude Opus 5.5 to Bedrock. Anthropic and OpenAI also have multi-gigawatt Trainium deals, a big piece of the Amazon stock 2027 math. Ad revenue also climbed 26% to $19.8 billion, and that gives the Amazon stock 2027 story a second engine outside the cloud.

What Could Slow The Rally Before 2027

A $350 share price needs a forward P/E of around 33x on projected earnings, and Wall Street’s Amazon stock 2027 models use EPS estimates between $10.47 and $15.04. Spending is the biggest risk to the Amazon stock outlook right now, as trailing free cash flow has flipped to a $7.6 billion outflow. Price competition between model providers adds to that, since cheaper models may bring more AI calls, but each call can earn less.

Jassy said:

“We now believe we will spend approximately $220 billion in cash CapEx in 2026. The higher cost of memory pushing this number up from our prior estimate of about $200 billion. Even at that amount, we will still not have enough capacity to meet all the demand we have in 2026, and I believe this dynamic will also be true in 2027, too. In fact, the demand we already have for 2028 is striking.”

Will AMZN stock grow through all this spending? Jassy expects free cash flow to stay under pressure until the new data centers come online and start earning.

So, will AMZN stock grow into $350? At the time of writing, it still needs a 43% climb. The Amazon stock setup works if AWS growth holds up, and the next few AWS reports will likely show which Amazon stock price prediction for 2027 lands closer, the $329 average stock price target or the $350 calls.