Amazon.com (AMZN) faces uncertainty surrounding tariffs with the biggest impact looming in Q3, Oppenheimer said Sunday in a note.
Oppenheimer lowered its price target on Amazon stock to $220 from $260 and kept its outperform rating.
The firm maintained its Q1 diluted earnings estimate of $1.39 a share on revenue of $155.6 billion and lowered forecasts for the subsequent quarters this year.
Most third-party sellers on Amazon have sufficient inventory through May to delay price increases., Oppenheimer said.
"We believe investors would be supportive if AWS grows mid- to high teens for 2025 and e-commerce gains share from overall retail, even if margins contract meaningfully," Oppenheimer said.
Amazon is due to report Q1 results on Thursday.
Shares of the company fell 1.7% in recent Monday trading.
Price: 185.83, Change: -3.16, Percent Change: -1.67
