Key Points on AI Developments by Amazon and Robinhood
Most Wall Street analysts consider Amazon (NASDAQ: AMZN) and Robinhood Markets (NASDAQ: HOOD) to be undervalued. Amazon’s median target price among 72 analysts is $285 per share, reflecting a potential 34% upside from its current price of $212. Robinhood’s median target price from 28 analysts is $121 per share, indicating a 59% upside from its current price of $76.
Amazon is advancing in AI technology by developing robots capable of understanding conversational language for package delivery and testing robotaxis through its subsidiary, Zoox, in cities like Las Vegas and San Francisco. It aims to improve warehouse logistics with its AI model, DeepFleet, which is expected to enhance robotic travel time by 10% and reduce delivery costs.
Meanwhile, Robinhood is integrating AI into its trading platform through a suite of features called Cortex, aimed at providing market insights and facilitating transactions. The firm has also launched the Robinhood Ventures Fund I, which offers exposure to seven private companies, including Databricks. Current earnings projections estimate a 19% annual growth for Robinhood through 2027.
