Barclays says a retail online giant is certainly a “prime” bargain for any savvy investors who haven’t already clicked with the stock.

Barclays said investors should buy Amazon.com Inc.’s shares because the company's earnings this year will come in significantly above expectations. The bank initiated coverage on the company with an overweight rating.

"AMZN is on the winning side of the biggest TAMs [total addressable markets] & lowest penetration shifts in consumer internet & enterprise (e-commerce, cloud & new areas like video, IoT [internet of things], AI), and has more runway than just about any other company," analyst Ross Sandler wrote in a note to clients, CNBC reported.

"AMZN is likely to be one of the first trillion-dollar market cap companies; it's just a question of when, not if, in our view."

The analyst's price target for the company is $1,120, representing 31 percent upside from Tuesday's close. Amazon has a market value of $409 billion, according to FactSet.

Meanwhile, Amazon has agreed to buy Dubai-based online retailer Souq.com, betting that e-commerce in the Middle East is poised to take off, Bloomberg reported.

The U.S. e-commerce giant beat out Emaar Malls PJSC, which runs the world’s biggest shopping center and had bid $800 million for Souq.com. Amazon and Souq.com didn’t disclose deal terms and declined to comment.

Amazon has been stepping up its overseas expansion. Having largely ceded China to Alibaba Group Holding Ltd., the Seattle company is waging a war of attrition with Flipkart Online Services Pvt in India, where it has pledged to spend $5 billion in the next few years. The Middle East has lagged behind the rest of the world in e-commerce, but online shopping is picking up in such countries as Bahrain, Qatar and the United Arab Emirates, where most people own mobile phones.

The deal is one of Amazon’s largest acquisitions in recent years. In 2014 it bought game streaming site Twitch for $970 million. The U.S. retail giant began weighing a bid for Souq.com late last year, a move first reported by Bloomberg.

Having walked away from a deal earlier in the year, Amazon restarted negotiations to buy the company for as much as $650 million, people familiar with the situation said on March 9.

(Newsmax wire services and Reuters and Bloomberg contributed to this report).