There is no denying that the US stock market has struggled to find its footing throughout the first five months of the year. However, that has not stopped optimism from being present amid a host of experts. One company that has become the subject of that optimism is Amazon (AMZN), with Bank of America boosting its target price of the stock for two key reasons.

The e-commerce juggernaut has become one of the premier stocks of the Magnificent 7. Not only has its core business continued to thrive, but it has firmly embraced its position as one of the most diversified tech companies in the world. That may be poised to help it actualize what has become some pretty high hopes.

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Amazon Target Gets Lifted by Bank of America & Here’s Why

On June 2, BofA Securities analysts increased the price target for Amazon.com, Inc. stock to $248 from $230 and maintained a ‘Buy’ rating. The analysts attribute the price forecast revision to two factors.

For starters, Bank of America is confident in the company’s substantial progress in robotics and AI technology. According to analysts, Amazon’s robotic capabilities have increased significantly since the acquisition of Kiva in 2012. Amazon launched its 12th-generation automated fulfillment center late last year. It has also introduced eight new robots, adding over 750,000 robot assists to its arsenal. In addition, the enhanced automation at Amazon fulfillment centers is the catalyst behind the company’s revenue growth of over 10.08% over the past 12 months.

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Furthermore, Amazon Web Services (AWS) has played another crucial rol. With $29.3 billion in revenue in Q1, the 17% boost from a year ago established the cloud business as a tech juggernaut. Moreover, its revenue rate is frozen at $117 billion, clearly establishing it as a top player.

That isn’t all; it also featured $11.5 billion in operating income, making it a profit machine as well as a revenue driver. That coincides with the second key reason for optimism, advertising. The company has an overlooked ad revenue sector, reaching $13.9 billion in revenue, up 19% from a year ago.