12:38 PM EDT, 08/13/2025 (MT Newswires) -- Amazon.com ( AMZN ) is taking an important step in its broader strategy with a major expansion into same-day delivery for perishable groceries, a move aimed at capturing market share in a category where the company has historically struggled, Wedbush said in a report Wednesday.

The company will roll out the service to 1,000 US markets, with plans to reach 2,300 by year end. Prime members will receive free delivery on orders over $25, while smaller orders will cost $2.99, the report said, adding that previously, free same-day delivery from Amazon Fresh required a $100 minimum, and Whole Foods orders carried a $9.95 fee.

The expansion builds on a $9.99-per-month subscription introduced in April 2024, which offers free delivery on orders over $35 from Whole Foods, Amazon Fresh, and partner grocers within a two-hour window, according to the report.

Wedbush said it believes the reason why the expansion is so meaningful is because Amazon ( AMZN ) has yet to oust "incumbents" in the grocery space, which is the largest retail category and is "relatively untouched by the internet."

Amazon ( AMZN ) appears to have finally developed the capability to store and deliver perishables for same-day service by leveraging its nationwide network of fulfillment centers and delivery trucks, the report said.

Wedbush has an outperform rating on Amazon ( AMZN ), with a price target of $250.

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