Amazon (NASDAQ:AMZN) shares dip more than 1% on Friday morning despite issuing a softer-than-expected outlook for the second quarter and facing fresh tariff concerns.

• Warning! GuruFocus has detected 2 Warning Sign with AMZN.

The e-commerce giant delivered solid first-quarter earnings, with revenue from Amazon Web Services climbing 17% year over year. However, that growth fell just short of analyst estimates, and the company’s cautious Q2 guidance, coupled with renewed trade tensions, weighed on sentiment in after-hours trading Thursday.

Still, CEO Andy Jassy struck a confident tone, noting that consumer demand remains steady and the company is well-positioned to manage tariff-related risks. His comments, alongside bullish notes from top Wall Street analysts, helped reverse early jitters.

BofA Securities analyst Justin Post lifted his price target to $230 from $225 and kept a Buy rating. He pointed to Amazon’s strong core business and said the stock remains undervalued compared with Walmart (NYSE:WMT). He also expects Amazon to benefit from any trade deals struck in the coming months.

Morgan Stanley’s Brian Nowak echoed that view, reiterating a Buy rating with a $250 target. He cited Amazon’s leadership in logistics and potential upside from generative AI despite ongoing uncertainty around tariffs from China.

This article first appeared on GuruFocus.