Tensions in the Middle East due to the US-Iran war and high oil prices continued to weigh on the stock market this week. Investors with a long-term investment horizon should look beyond short-term challenges and take advantage of ongoing volatility to select stocks that are trading at attractive valuations.
Monitoring leading Wall Street analysts can help investors gain important insights because these experts assign ratings after thoroughly analyzing a company’s fundamentals and the macro and micro factors that impact its performance.
Here are three stocks favored by some of Wall Street’s top pros, according to TipRanks, a platform that ranks analysts based on their past performance.
Amazon
We start this week with the e-commerce and cloud computing giant Amazon (AMZN). Recently, JPMorgan analyst Doug Anmuth reiterated his Buy rating on AMZN stock and increased his price target from $265 to $280, saying it is “still the best idea.”
The 5-star analyst revised his estimates to reflect solid demand and capacity expansion at its Amazon Web Services (AWS) cloud unit. In contrast, more unfavorable exchange rate movements, increased fuel prices, international growth initiatives and additional costs associated with the accelerated launch of Amazon Leo negatively impacted estimates.
Specifically, Anmuth now forecasts AWS growth of 29%, 30%, 29% and 28% for the first, second, third and fourth quarters of 2026, respectively, followed by 26% growth in 2027. The analyst attributed its improved estimates to the movement of traditional workloads to the cloud and increasing adoption of AI. Anmuth also noted that AWS expanded its partnership with ChatGPT maker OpenAI to an eight-year, $138 billion deal. He expects the AWS backlog to increase by $100 billion in the first quarter of 2026 compared to the previous quarter.
Overall, Anmuth highlighted improving demand trends as Amazon catches up in the AI race. While higher fuel prices and international growth investments are expected to weigh on near-term operating income, the analyst is optimistic about AMZN’s medium-term margin expansion, driven by inventory optimization efforts in North America, same-day delivery, accelerated adoption of robotics and automation, and advertising business.
Anmuth is ranked #352 among more than 12,100 analysts tracked by TipRanks. Its valuations were profitable 57% of the time and delivered an average return of 15.3%. See Amazon stock buybacks on TipRanks.
SanDisk
We continue with the flash memory manufacturer SanDisk (SNDK), which benefits from robust AI-driven demand for its products. After meetings with the company’s CFO Luis Visoso and other executives, Bank of America analyst Wamsi Mohan reiterated a Buy rating on SNDK stock with a $900 price target, citing “secular opportunities as AI inference makes NAND more indispensable.”
Mohan said he is now more confident about the sustainability of NAND demand given the strong demand for hyperscalers and AI inference. Interestingly, the analyst noted that SanDisk and its customers are interested in signing long-term supply contracts as part of a new business model that can offset cyclicality.
The pricing in these contracts consists of fixed and variable components. Mohan added that these long-term contracts are offered to SanDisk customers in the cloud, client and consumer segments, but the greatest demand is in the data center business.
Among the analyst’s key takeaways from the meetings was that SanDisk will not expand beyond its planned high-teens supply growth for 2026 to 2027, given the risks associated with increasing capacity. Additionally, the company remains focused on driving a mix shift toward the cloud. Additionally, management expects SanDisk to gain market share in the higher-margin enterprise solid-state drive (eSSD) market, with BiCS8 eSSDs expected to increase sales in the second half of 2026 and beyond.
Regarding concerns regarding Googles Mohan believes that the TurboQuant compression method reduces LLM (Large Language Model) memory usage and has a negative impact on SanDisk. He believes it could actually increase the ROI (return on investment) of hyperscalers’ capital expenditures, with improved efficiency potentially driving demand.
Mohan is ranked #67 among more than 12,100 analysts tracked by TipRanks. Its valuations were profitable 62% of the time and delivered an average return of 29.4%. See SanDisk ownership structure on TipRanks.
I won’t
Cloud computing company I won’t (NBIS) is also one of the beneficiaries of the strong demand for AI infrastructure. The company recently announced a five-year, $27 billion AI infrastructure deal with the social media giant Metaplatforms (META).
In response to the deal, DA Davidson analyst Alexander Platt reiterated his Buy rating on Nebius shares and increased the price target from $150 to $200. The analyst noted that this new contract is an addition to a $3 billion deal the two companies announced last year.
Platt emphasized that the new agreement consists of two parts – the first includes $12 billion in computing power, with Nebius Meta supplying Vera Rubin systems in 2027; and a second part that allows Meta to acquire up to $15 billion in additional computing capacity. Given the scope and timing of these contracts, the analyst expects them to be awarded at Nebius’ new greenfield data center locations.
The 5-star analyst noted that Nebius’ backlog now includes a Microsoft contract worth up to $19.4 billion and capacity agreements from Meta Platforms worth nearly $30 billion. Interestingly, Platt still believes Nebius could land at least one more large hyperscaler deal in the next 12 months. In this regard, the analyst highlighted that Nebius recently outlined its plan to deploy more than 5 GW of capacity by the end of 2030, supporting Platt’s expectation of another deal.
Overall, Platt believes the meta deal “confirms Nebius as one of the leading neocloud players alongside CoreWeave.” The deal reinforces Platt’s optimism about NBIS’s growth trajectory and his expectations for improving margins and unit economics.
Platt ranks No. 416 among more than 12,100 analysts tracked by TipRanks. Its valuations were profitable 88% of the time and delivered an average return of 100%. See Nebius Financials on TipRanks.