Amazon.com Inc.'s (AMZN) stock has been on fire all year, but that hasn’t stopped UBS from predicting more upside is in store for the leading ecommerce giant, if it can grow its sales both in the U.S. and internationally by more than Wall Street is expecting.

That’s the premise for UBS analyst Eric Sheridan’s move Monday to up his price target on the stock to $1,200 from $1,100 and also institute a bull price target of $1,600. At $1,200, it implies shares have room to climb another 18% this year. At $1,600 a share, the analyst is projecting close to 37% upside. Recently shares of Amazon were trading up 0.82% or $819 a share to $1,010. (See also: Amazon: 'Compounding Love of Prime Continues,' Says Street Bulls.)

Thank Prime Day

In a research report covered by CNBC, Sheridan said upside to Wall Street’s revenue targets could be driven by better-than-expected sales due to Prime subscriber growth, substantial expansion into new geographies and products within ecommerce and better-than-expected overall retail sales. The analyst also pointed to little pushback from competition from the likes of Apple and Google for the bull case scenario and its success in pushing into new areas of the retail segment. "Amazon's acquisition of Whole Foods is one of the most recent examples underlining the company's ambitions to drive greater wallet share among current Prime members," wrote Sheridan in a note to clients. "Based on our last UBS Evidence Lab survey among 2,500 US consumers, 75% of respondents stated that they had never shopped for groceries on Amazon before, followed by household products (65%), personal care products (52%) and pet supplies (51%)."  (See also: Amazon Prime's Crazy Long Reach.)

The bullish call from UBS comes just a few days after Amazon held its third annual Prime Day in which it offers customers deep discounts on a host of products. Last week’s event ended up being huge for the online giant with sales surpassing both its most recent Black Friday and Cyber Monday, making it the biggest sales day ever for the company. The online retailer said sales increased more than 60% compared to last year’s Prime Day, with growth among small businesses even higher. What’s more, the company said more members joined Prime on July 11 than any other single day in the company’s history with tens of millions of Prime members making a purchase during the event. That is up more than 50% compared to last year. This year’s Prime event went for 30 hours and included more countries than in the past years.

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