Amazon And These Two Stocks Are Analyst's Top Picks

Consumer demand for online platforms proved resilient in the latter half of this year, setting upAmazon(AMZN) stock, as well as shares ofDoorDash(DASH) andExpedia Group(EXPE), for a strong 2026, Evercore ISI analysts said in a recent client note.

From ride-share to online travel to e-commerce, most companies are experiencing robust consumer demand trends, Evercore ISI analyst Mark Mahaney wrote late Friday. Even the arguably most discretionary sector online travel experienced a significant growth recovery in (second-half) 2025, post Q2 softness.

Further, President Donald Trump recently said the government could pay out $2,000tariff dividend checksstarting in the middle of next year. Stimulus would offer at least a near-term boost to consumer demand, Mahaney wrote, but could also drive further inflationary pressures.

Inthat environment, Mahaney picked Amazon as his top large capitalization long pick for 2026. He named Expedia Group stock and DoorDash as his second and third favorites.

Why Amazon Stock Is Evercores Top Pick

Mahaney reiterated an outperform call and 335 price target for Amazon stock with the note, implying nearly 47% upside from Fridays closing price.

Amazon has topped a few analysts lists of 2026 picks. But shares have lagged the SP 500 this year with a roughly 5.7% gain. Tariffs weighed on the stock in thefirst half of the year, while concerns aboutAmazons AI positioningdrove a slump following the companys second-quarter results in July.

But Mahaney noted that Amazon posted itsstrongest cloud growthin 11 quarters with its September period results and has flipped thenarrative on AI. Other potential catalysts for the stock next year includegrocery salesas a material new growth engine andTrainium 3 AI chips. Meanwhile, Amazons satellite internet business, which recently was renamed to Leo fromProject Kuiper,is expected to begin commercial service this year.

At the end of the day, Amazon remains a high-quality compounder (25% earnings-per-share compound annual growth rate), with solid double-digit revenue growth, expanding operating margins, and free-cash-flow likely to inflect up materially in a 24-month time frame, Mahaney wrote.

DoorDash Stock, Expedia Get Positive Views

Expedia, meanwhile, posted what Mahaney called the cleanest beat and raise earnings results across the internet sector with itsSeptember quarter results. Shares rallied 18% following the Nov. 6 report and are ahead 54% year to date.

Despite that rally, Mahaney said Expedia still trades at a discount compared to the price-to-earnings ratios of rivalsBooking Holdings(BKNG) andAirbnb(ABNB).

Yet Expedia is growing at a similar rate for room nights booked, the industrys most important metric, Mahaney wrote. He holds an outperform call and price target of 350 for Expedia stock, implying 21% upside from Fridays closing price.

For DoorDash, Mahaney advised taking advantage of a roughly 20% pullback that followed the food-delivery companysQ3 resultsin early November. Investors punished the previously red-hot stock after DoorDashs leadership said it would scale up investments in 2026.

We get the investment cycle concerns, but we believe the investment targets are highly reasonable Deliveroo, tech stack, autonomous and new software/hardware opportunities, Mahaney wrote. And the good news is that the cycle news is behind us.

Meanwhile, DoorDash has only reached 10% of what Mahaney views as the total addressable market (TAM) for U.S. restaurant delivery, with additional lanes for growth in grocery sales and international markets.

Mahaney holds an outperform call and price target of 360 for DoorDash stock.

Amazon Stock Tests 50-Day Line

On thestock market today, Amazon stock is down a fraction at 232 in morning trades. Shares have hovered just above Amazons 50-day moving average for the past four trading days.

Meanwhile, Amazon stock holds an IBD Composite Rating of 87 out of 99, according toIBD Stock Checkup. IBDs Composite Rating is a blend of key fundamental and technical metrics to help investors gauge a stocks strengths. The best growth stocks have a Composite Rating of 90 or better.

Expedia stock is down a half-percent at 286.28 in recent Monday morning trading. Shares have gained 12% this month after adding 16% in November. Expedia stocks IBD Composite Rating is 94 out of 99.

DoorDash stock is down 0.3% in recent trades at 232.98. Shares have bounced back with a 17% gain this month but are still down 18% from an all-time high of 285.50 in mid-October. DoorDash stocks IBD Composite Rating is 92 out of 99.