We recently published a list of 11 Best Internet Retail Stocks to Buy According to Analysts. In this article, we are going to take a look at where Amazon.com, Inc. (NASDAQ:AMZN) stands against other best internet retail stocks to buy according to analysts.

Retail Sales Rise in March Amid Volatile Stock Market

Trade policies and tariffs have dominated the stock market since the beginning of April, resulting in volatility and uncertainty. However, CNBC reported on April 16 that retail sales rose 1.4% in March, surpassing expectations. CNBC reported earlier on April 15 that the March retail sales report had the potential to impact investor positioning and confidence. According to Dow Jones, economists and experts anticipated a 1.2% month-over-month growth.

READ ALSO: 15 Best Blue Chip Stocks to Buy According to Billionaires and Top 10 Restaurant Stocks to Buy Under $20. 

CNBC reported that the primary catalyst for this growth is a pull-forward of consumer spending to get ahead of increased good prices brought about by tariffs. It also reported that Freedom Capital Markets chief global strategist Jay Woods opined that retail stocks could undergo a short-term bounce if the retail sales report were in line or better than expected. He said:

“Some of these names have gotten way too far ahead of themselves on the downside that bounces are natural. They’ve gotten beaten down and mean reversion could lead to a nice rally over the coming days.”

Callie Cox, chief market strategist of Ritholtz Wealth Management, expressed similar sentiments, saying a strong retail sales report could potentially lead to a rise in consumer discretionary stocks.

“Consumer Discretionary stocks have been hit so hard that they may be more susceptible to a relief rally on the back of a retail sales report that doesn’t show the economy is falling apart,” said Cox.

With the retail sales report exceeding expectations, these analyst opinions could potentially come true. So let’s look at the 11 best internet retail stocks to buy according to analysts.

Our Methodology

We sifted through stock screeners, financial media reports, and ETFs to compile a list of 30 internet retail stocks and chose the top 11 with the highest analyst upside potential as of April 17, 2025. We also added the number of hedge fund holders for each stock as of Q4 2024. We sourced the hedge fund sentiment data from Insider Monkey’s database. The list is ordered in ascending order of analyst upside.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

A customer entering an internet retail store, illustrating the convenience of online shopping.

Amazon.com, Inc. (NASDAQ:AMZN)

Analyst Upside: 49.14%

Number of Hedge Fund Holders: 339

Amazon.com, Inc. (NASDAQ:AMZN) is a multinational technology company that offers online retail shopping services. It operates through the North America, International, and Amazon Web Services segments. AWS’s segment covers global sales of storage, computers, databases, and other services for government agencies, academic institutions, startups, and enterprises.

On April 10, Telsey Advisory analyst Joe Feldman maintained a Buy rating on Amazon.com, Inc. (NASDAQ:AMZN) and set a $275.00 price target. It is the 10th best internet retail stock to buy according to analysts, and its median price target implies a 49.14% upside from current levels.

Amazon.com, Inc.’s (NASDAQ:AMZN) e-commerce standing lends it a significant competitive advantage, as it holds nearly 38% of all e-commerce sales in the US. According to the Boston Consulting Group, e-commerce is expected to continue growing as a percentage of retail sales, reaching around 41% of global retail sales by 2027. This is anticipated to prove substantially beneficial for Amazon.com, Inc. (NASDAQ:AMZN).

The company is also heavily investing in AI. Its capital expenditures (capex) for 2025 are anticipated to be around $100 billion, most of which would go to AI. The company also said that falling AI inference expenses would fuel increased AI infrastructure spending. Ariel Appreciation Fund stated the following regarding Amazon.com, Inc. (NASDAQ:AMZN) in its Q4 2024 investor letter:

“During the quarter, we initiated three new investments, each in companies we have followed closely for a considerable time. At various points, we viewed them as missed opportunities; however, our experience with Mr. Market has taught us that patience often creates inevitable entry points. This quarter, some exciting opportunities presented themselves. The three investments are Amazon.com, Inc. (NASDAQ:AMZN), Diageo (NYSE: DEO), and Uber (NASDAQ: UBER). We will discuss each in detail below.

Amazon is one of the most widely followed companies in the world. While the “Magnificent 7” (of which Amazon is a key member) is often seen as a runaway freight train, we were able to purchase Amazon shares at prices last seen in 2021—three years ago. How is this possible if the “Mag7″ has been so dominant? We believe it largely reflects the increasing prevalence of narratives driving market sentiment…” (Click here to read the full text)

Overall, AMZN ranks 10th on our list of the best internet retail stocks to buy for 2025. While we acknowledge the potential for AMZN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than AMZN but trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.