Amazon (AMZN) will reportedly execute another wave of layoffs next week, per a recent Reuters report, targeting approximately 30,000 jobs. According to sources, the company’s retail operations are expected to be among the areas affected, alongside Amazon Web Services (AWS), Prime Video, and the People Experience and Technology human resources unit.
In October 2025, the company eliminated 14,000 corporate positions, approximately half of the total reduction it is targeting. The sources tell Reuters that the layoffs could begin as soon as Tuesday, January 27.
Amazon CEO Andy Jassy has made it clear that these cuts are not about weak demand or falling profits. Speaking on the company’s third-quarter earnings call, he said the move was “not really financially driven” and “not even really AI-driven.” Instead, Jassy pointed to company culture. He said Amazon has added too many layers over time, which has slowed teams down and made the company less efficient. Despite that, concerns are still high about the company’s devotion to AI investing over other areas in the past year.
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Other Catalysts for Amazon (AMZN) Stock Moves
Furthermore, Amazon took a slight dip earlier this week amid renewed US tariff threats. Speaking to CNBC on Tuesday morning, CEO Jassy revealed that Amazon.com is starting to see an uptick in product prices on its e-commerce platform as sellers respond to cost pressures stemming from Trump’s tariffs.
Shares in Amazon (AMZN) rose 2% on Friday and are up 3% YTD. The evolving focus of AI in Amazon’s business model, as well as the reported layoffs, is prompting analysts to adjust their price targets and fair value estimates. Despite that, Amazon’s analysts mostly agree on a positive outlook, with price targets significantly higher than the current $239 market price.
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Current analyst price targets for AMZN range from $244 to $340. Cantor Fitzgerald recently reiterated an Overweight rating with a price target of $260. Meanwhile, Wedbush and B of A Securities maintain a Buy rating on the stock. Furthermore, the average Amazon stock price target of $294.45 per share implies 25.65% upside potential from current levels.