This article first appeared on GuruFocus.

Amazon (NASDAQ:AMZN) rose nearly 2% on Monday even as Italian police raided two of the company’s sites as part of a probe into alleged 1.2 billion tax evasion tied to Chinese goods sold in the country. Reuters reported that officers searched a logistics hub in Bergamo and Amazon’s Italian headquarters in Milan, seizing more than 5,000 products and confiscating IT equipment.

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Italian authorities have been investigating Amazon since 2021 over suspected underpayment of import VAT on goods sold between 2019 and 2021, a case that could ultimately expand to roughly 3 billion once penalties and interest are included. Three Amazon managers in Italy have been questioned this year in connection with the probe. Italy previously seized about 121 million from an Amazon unit in a separate tax and labor-law case in 2024.

Despite renewed scrutiny, Wall Street sentiment remains firm. Analysts maintain a Strong Buy rating, and the average $294.71 target implies about 34% upside.

This article first appeared on GuruFocus.

Amazon (NASDAQ:AMZN) rose nearly 2% on Monday even as Italian police raided two of the company’s sites as part of a probe into alleged 1.2 billion tax evasion tied to Chinese goods sold in the country. Reuters reported that officers searched a logistics hub in Bergamo and Amazon’s Italian headquarters in Milan, seizing more than 5,000 products and confiscating IT equipment.

• Warning! GuruFocus has detected 3 Warning Sign with AMZN.

• Is AMZN fairly valued? Test your thesis with our free DCF calculator.

Italian authorities have been investigating Amazon since 2021 over suspected underpayment of import VAT on goods sold between 2019 and 2021, a case that could ultimately expand to roughly 3 billion once penalties and interest are included. Three Amazon managers in Italy have been questioned this year in connection with the probe. Italy previously seized about 121 million from an Amazon unit in a separate tax and labor-law case in 2024.

Despite renewed scrutiny, Wall Street sentiment remains firm. Analysts maintain a Strong Buy rating, and the average $294.71 target implies about 34% upside.