JPMorgan ChaseAnalyst Anmuth issued a report saying that despite intensified competition,AmazonThe expansion of the same-day delivery service of fresh food will support its continuous increase in the online shopping market in the United States. The bank maintains its "best investment idea" rating on Amazon with a price target of $265.
Analysts believe that Amazon's grocery offensive may further expand its lead in the U.S. online shopping market, and help boost Prime's attractiveness, drive spending frequency and advertising revenue, while forcing traditional retailers to re-examine pricing and delivery charges. In addition, the increase in grocery customers helped drive the advertising business. The bank expects its advertising revenue to rise further as more brands strive for exposure on Amazon's platform.
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