Amazon (AMZN) will reportedly execute one other wave of layoffs subsequent week, per a current Reuters report, focusing on roughly 30,000 jobs. In line with sources, the corporate’s retail operations are anticipated to be among the many areas affected, alongside Amazon Net Providers (AWS), Prime Video, and the Folks Expertise and Know-how human assets unit.
In October 2025, the corporate eradicated 14,000 company positions, roughly half of the overall discount it’s focusing on. The sources inform Reuters that the layoffs may start as quickly as Tuesday, January 27.
Amazon CEO Andy Jassy has made it clear that these cuts aren’t about weak demand or falling earnings. Talking on the corporate’s third-quarter earnings name, he mentioned the transfer was “probably not financially pushed” and “not even actually AI-driven.” As a substitute, Jassy pointed to firm tradition. He mentioned Amazon has added too many layers over time, which has slowed groups down and made the corporate much less environment friendly. Regardless of that, issues are nonetheless excessive concerning the firm’s devotion to AI investing over different areas prior to now yr.
Different Catalysts for Amazon (AMZN) Inventory Strikes
Moreover, Amazon took a slight dip earlier this week amid renewed US tariff threats. Talking to CNBC on Tuesday morning, CEO Jassy revealed that Amazon.com is beginning to see an uptick in product costs on its e-commerce platform as sellers reply to price pressures stemming from Trump’s tariffs.
Shares in Amazon (AMZN) rose 2% on Friday and are up 3% YTD. The evolving focus of AI in Amazon’s enterprise mannequin, in addition to the reported layoffs, is prompting analysts to regulate their value targets and truthful worth estimates. Regardless of that, Amazon’s analysts principally agree on a optimistic outlook, with value targets considerably greater than the present $239 market value.
Present analyst value targets for AMZN vary from $244 to $340. Cantor Fitzgerald not too long ago reiterated an Obese ranking with a value goal of $260. In the meantime, Wedbush and B of A Securities preserve a Purchase ranking on the inventory. Moreover, the typical Amazon inventory value goal of $294.45 per share implies 25.65% upside potential from present ranges.
