Contradictory data in some results?

Hello, I've recently bought your extension and after some testing days I have some doubts.

I have searched for a product which has a 7 of "Potential Score" and 276 results, the pro conclusion is that it's a "Unsaturated niche, you will compete with a just few sellers". However, the con is that there are "Very high Amount of AMZ Sellers".

For me it seems a bit contradictory, 276 results but few sellers? I don't understand it... How many vendors are needed for considering a niche saturated?

Which conclusion is true, few sellers or high amount of AMZ Sellers?

Regards.