JPMorgan ChaseAnalyst Anmuth published a report stating that despite increased competition,AmazonExpanding its fresh food same-day delivery service will support its continued increase in market share in the US online shopping market. The bank maintained its "Best Investment Idea" rating on Amazon with a price target of $265.
Analysts believe that Amazon's grocery offensive could further expand its leading position in the U.S. online shopping market, help increase Prime's appeal, drive consumption frequency and advertising revenue, and force traditional retailers to reexamine pricing and delivery charges. In addition, the increase in grocery customers helped to boost the advertising business. The bank expects its advertising revenue to rise further as more brands seek exposure on the Amazon platform.
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