In a rare move among Amazon.com, Inc. (NASDAQ:AMZN) analysts, Deutsche Bank’s Lloyd Walmsley pulled back his price target from $1,150 to $1,135, maintaining a Buy rating.

The cause is Walmsley’s recent channel checks on Amazon Web Services, which suggest less growth than previously estimated.

The analyst now expects AWS to grow 39 percent in the second quarter, compared to 40 percent previously. The small change translates to millions of dollars of growth.

While the revision poses a near-term risk to investor sentiment, in the grand scheme of things the change is nothing for investors to be concerned of. The new price target still represents 13 percent upside from Tuesday’s open.

In addition, Walmsley said Amazon’s retail business is “firing on all cylinders,” and expects strong Q2 results from North America and international markets.

Prime Day results also support Amazon’s health as a retail business and rising investment in new distribution spaces sets the stage for long-term growth.

Reinvestment in all of Amazon’s segments, including media and hardware, will continue to put pressure on margins though.

All-in-all, with an eye on web services, Walmsley “would use any pullback around AWS growth rate shortfalls to add to long-term positions.”

Follow along with earnings season and other business news in real-time with Benzinga Pro.

Related Links:

Alibaba Launches Platform To Link US Businesses With 500 Million Chinese Consumers

Master Of All Trades: Every Industry Jeff Bezos Has A Hand In