Amid an ever-changing stock market landscape, there is no shortage of companies ready to thrive in the coming year. However, the most promising may be Amazon (AMZN), as the company is eyeing new heights in 2025 with a stock surge likely on the horizon.
There are few entities as diversified as the e-commerce titan. That will serve it well, as it looks to compete in a plethora of emerging industries. With Amazon Web Service (AWS) proving to be a top-tier revenue generator for the firm, it is just the start, as the shares are likely to reach a $215 all-time high early next year.
Amazon to Set All-Time High in 2025? Why the Company Could See Monumental Run
In recent months, Wall Street has begun to question if Amazon is still the millionaire maker that it once was. With the margins between tech companies becoming ever smaller, eyes are wandering toward companies like Microsoft (MSFT) and emerging Nvidia (NVDA). Even AMD stock has gotten intrigued as a clear-up-and-comer.
However, the competition doesn’t denote the dominance expected from the e-commerce and technology titan in the coming year. Indeed, Amazon (AMZN) stock is still poised to reach new heights in 2025, on the back of a host of different developments in sectors that have seen demand skyrocket.
One of the big reasons for its likely continued success is a shift in focus. When CEO Andy Jassy took over in 2021, the edict at the top changed. The company shifted to focus on profitability over growth. This saw job-cutting take place at the top level, and streamlined infrastructure come to fruition to ensure the bottom line was affected.
This had a massive impact on the company’s appeal. The net sales after Jassy took over rose 11%. However, the operating income skyrocketed 55%. Moreover, Jassy orchestrated the flourishing AWS business that has generated 60% of the company’s $10.4 billion income.
The business has been crucial in keeping competitive with firms like Alphabet (GOOGL), Meta (META), and Microsoft. Moreover, it has ventured into the AI sector that dominates investor interest. Considering the reach and infrastructure of Amazon, it stands to reason it will be able to more than hold its own when going head-to-head with these companies.
Although there is no clear winner, Amazon has an edge in the AI arms race. This will only fast-track in the coming year. As it continues to grow and diversify, it is finding even more opportunities to increase its reach.