Jim Cramer Bullish on Amazon Stock Ahead of Prime Day Sale

Famed investor Jim Cramer praises Amazon (AMZN) ahead of Prime Day, calling it the "most inflation-fighting company on Earth." Wells Fargo reiterated its "Equal Weight" rating on AMZN but raised its price target to $238, indicating potential upside of 9%. The consensus rating on Amazon shares is "Strong Buy" with a mean target of $245, indicating potential upside of 12%.

Famed investor Jim Cramer has lauded Amazon (AMZN) as the "most inflation-fighting company on Earth" as the e-commerce giant's Prime Day event kicked off. Cramer, appearing on CNBC's "Squawk on the Street," highlighted Amazon's ability to keep prices low, a key factor in combating inflation. He noted that prices consumers will see during Prime Day harken back to pre-Covid levels in 2018, before inflation surged post-pandemic [1].

Amazon's Prime Day, which runs from Tuesday to Friday, offers exclusive deals across various categories, including electronics, apparel, and everyday items. The event is expected to bring in a record $12.9 billion in the U.S., up 53% from last year, according to research firm eMarketer [1]. Despite the consumer enthusiasm, Wall Street's reaction has been lukewarm, sending Amazon shares down nearly 1.5% on Tuesday [1].

Wells Fargo & Company has raised its price target for Amazon from $201.00 to $238.00, indicating a potential 9% upside from the current stock price. The brokerage maintains an "equal weight" rating on the e-commerce giant [2]. The consensus rating on Amazon shares is "Strong Buy" with a mean target of $245, indicating a potential 12% upside [2].

Amazon has been actively working to keep prices low by consolidating its fulfillment network and integrating artificial intelligence across its logistics network for demand forecasting. The longer Prime Day event this year suggests Amazon is prepared to handle the higher volume of orders [1].

The Prime Day event comes at a time when U.S. consumers are not feeling very optimistic about the economy, with negotiations between the U.S. and its global trading partners remaining volatile. However, consumers feel there is some breathing room, as the worst-case scenario for the economy hasn't materialized [1].

Amazon's ability to offer significant discounts comes from its close collaboration between its retail team and third-party selling partners, ensuring consumers get great deals on items they care about [1]. Online spending is expected to increase by 28.4% year-over-year to $23.8 billion across all U.S. retailers during Amazon's Prime Day period, suggesting a halo effect for the industry and another robust event for Amazon [1].

Amazon's stock has seen insider buying and selling activity, with several large investors also acquiring new positions in the company's shares [2]. The company's strong financial performance and potential for growth make it an attractive investment for both individual investors and institutional investors.

References:
[1] https://www.cnbc.com/2025/07/08/cramer-calls-amazon-the-most-inflation-fighting-company-as-prime-day-begins.html
[2] https://www.marketbeat.com/instant-alerts/wells-fargo-company-issues-positive-forecast-for-amazoncom-nasdaqamzn-stock-price-2025-07-08/