What happened Shares of e-commerce and cloud computing kingpin Amazon (NASDAQ: AMZN) slumped on Tuesday, shedding as much as 2.8%. As of 2:45 p.m. ET, the stock was still down 2.3%. The downtrend in the overall market no doubt helped to push Amazon stock lower, but mixed commentary by one of Wall Street's finest likely added fuel to the sell-off. So what J.P. Morgan analyst Doug Anmuth cited several near-term headwinds as he trimmed his expectations for Amazon's first-quarter revenue and full-year earnings per share guidance, even as the company performed well during the recent holiday sales season. Anmuth mentioned inflationary pressures, as well as elevated operational and labor costs, as potentially weighing on Amazon's results. Image source: Getty Images. Anmuth now expects first-quarter revenue of $120.5 billion, while simultaneously lowering his earnings per share guidance for the full year to $75.17, down from $79.47. That said, he believes these more realistic expectations will help investors as we embark on a new year. "Though our estimates come down, we believe lower expectations should help de-risk shares and [Amazon] will become a cleaner story to own through 2022," Anmuth wrote in a note to clients. Now what Anmuth also cited a number of potential catalysts that could boost Amazon's results. He suggested the company could increase sales of apparel, groceries, and accessories, as well as gaining share in furniture and appliances. Additionally, the company recently increased its fulfillment fees by about 5%, a move that Anmuth believes could add as much as $3 billion to revenue over the coming year. It's worth noting that even though Anmuth reduced his near-term expectations, Amazon remains the investment bank's top pick overall. Anmuth reiterated his overweight (buy) rating, with a price target of $4,350. His price estimate would represent potential upside for investors of more than 34% over the coming year, compared with the stock's closing price on Friday. Amazon hasn't yet confirmed the date of its fourth-quarter and full-year earnings release, but market watchers are expecting the results sometime during the first week of February. 10 stocks we like better than AmazonWhen our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Amazon wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of January 10, 2022 JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company. John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Danny Vena owns Amazon. The Motley Fool owns and recommends Amazon. The Motley Fool recommends the following options: long January 2022 $1,920 calls on Amazon and short January 2022 $1,940 calls on Amazon. The Motley Fool has a disclosure policy.Source