SunTrust Robinson Humphrey analyst Robert Peck has reiterated his Hold rating for AMZN but raised his target price for the stock from $710.00 to $775.00.

The analyst believes that Amazon will benefit from the Prime flywheel, as well as from higher 3p adoption and accelerated secular growth at AWS. Though many bullish sentiments have been released regarding AMZN, the analyst has remained neutral for some time. This is due in part to increased competition in the services sector that could see itself materializing as direct competition with AMZN.

The analyst maintains that it could be difficult for this stock to outperform its peers given the competitive landscape and nature of the industry. One of Amazon’s strengths is cloud computing, a strength that could contribute greatly to further expansion in the future. Amazon’s revenues from cloud computing are expected to increase 50% y/y according to analysts.

Consensus reveals that AMZN could breach its 52-week high in the near future.

Robert Peck is a highly rated analyst with a success rate of 56% and average returns of 4.4% per recommendation.