Bank of America Securities is confident in the growth outlook for e-commerce, optimistic about Amazon and Chewy

AASTOCKS
2025.10.20 03:13

Bank of America Securities published a research report indicating confidence in the outlook for e-commerce growth, suggesting that consumer conditions are good. The shopping experience driven by AI will continue to improve, and faster and higher-quality delivery capabilities will drive an increase in consumer spending. Additionally, the penetration rate of online retail is expected to accelerate and continue into next year. The firm believes that investors should continue to pay attention to global e-commerce, with sales in this sector expected to grow by 10% next year, reaching USD 4.85 trillion, of which China accounts for about 40% of global growth.

The firm expects the GMV of U.S. online retail to grow by 9% year-on-year to USD 1.34 trillion. With improvements in the shopping experience driven by AI and the growth of online groceries, it is anticipated that next year will enter the Agentic AI shopping era, with the penetration rate of online retail expanding to 17.5%.

The report mentions that among the firm's recommended U.S. e-commerce stocks, Amazon (AMZN.US) remains the top pick due to its market share and profit expansion potential. Additionally, Chewy (CHWY.US) is also favored, as it has recorded market share growth, and automation brings potential profit expansion. The firm maintains a "Buy" rating on Amazon and Chewy

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