Several analysts raise price targets on Amazon, expecting big things from earnings this week

Published Mon, Jul 27 20209:07 AM EDT

Jesse Pound @/in/jesse-pound @jesserpound

(This story is for CNBC Pro subscribers only). The market has not priced in all the recent success for Amazon , and investors should buy in before details become more clear during Thursday's earnings report, according to several Wall Street analysts. Four firms hiked their price target for the stock on Monday ahead of the e-commerce giant's second-quarter report, with some saying that one of the year's best-performing stocks could jump nearly 20% in the next 12 months. Wells Fargo and Telsey Advisory Group raised their targets to $3,600 per share, up from $3,000 and $2,800 respectively, implying an upside of more than 19% above where trading closed on Friday. The stock is up more than 60% for the year, though it has lost ground in eight of the last 10 trading days. Wells Fargo said in a note that it expects "a stronger for longer e-com tailwind from COVID-19." Telsey's note echoed that idea and also highlighted some of the innovations Amazon is doing to build long term value. "The company's focus on newer business and initiatives—grocery, pharmacy, fashion, home, private brands, third-party, same-day/ one-day delivery, Amazon logistics, and Zoox (autonomous vehicles)—is making Amazon more valuable," the Telsey note said. Wedbush, which raised its price target to $3,500 per share from $3,050, also pointed to the potential for success from multiple parts of the business. "Amazon Web Services, Fulfillment by Amazon, and ads should drive steady margin growth, with Prime driving overall retail revenue growth," the firm said in a note. Bank of America was slightly less bullish, raising its target to $3,280 per share from $3,000. The bank said in a note that the uncertainty around a pushed back Prime Day could lead to a modest outlook for the third quarter but, when combined with market share gains in retail, lead to a strong holiday season. "Though many 2Q trends will be temporary with N.T. profit risk, we like the set up into 4Q with a record penetration gains into the holiday season, Prime Day in 4Q, and mall traffic likely still under pressure," the bank said.

Amazon CEO Jeff Bezos

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(This story is for CNBC Pro subscribers only).

The market has not priced in all the recent success for Amazon, and investors should buy in before details become more clear during Thursday's earnings report, according to several Wall Street analysts.

Four firms hiked their price target for the stock on Monday ahead of the e-commerce giant's second-quarter report, with some saying that one of the year's best-performing stocks could jump nearly 20% in the next 12 months.