Amazon's AI spending plans have spooked investors and triggered a 16% selloff — but some believe the tech giant's $200 billion bet can pay off.
AMZN's $200B 2026 capex plan rattles investors despite 14% revenue growth and surging AWS demand.
Amazon Pharmacy, the retail giant's online pharmacy, plans to bring same-day prescription delivery to almost 4,500 U.S. cities and towns by the end of this year, adding nearly 2,000 new communities to its network. The expansion will cover customers in newly served states such as Idaho and Massachusetts, the company announced on Wednesday.
Amazon is in discussions with publishing executives about launching a marketplace that would allow publishers to sell their content directly to companies building artificial intelligence products, according to The Information. The initiative would position Amazon as an intermediary in the intensifying dispute over how AI developers access, license and pay for digital content.
Amazon ( NASDAQ:AMZN ) had climbed steadily from 2022 to 2024, with shares rising 80% in 2023 and 44% in 2024 after losing nearly half its value in 2022.
As Amazon (NASDAQ: AMZN) stock continues to face increased volatility, with shares plunging after the Q4 2025 earnings report, analysis indicates the equity has dropped to its lowest valuation ever.
Amazon (AMZN) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.
Amazon (AMZN) is rated a Strong Buy, trading at its lowest valuation in 5 years despite robust growth and margin expansion. AMZN's advertising and AWS segments are driving high-margin growth, with AWS delivering over 50% of net earnings and accelerating revenue. Regionalization in retail operations is boosting margins, and a strong investment portfolio adds liquidity and interest income.
Amazon (AMZN) is upgraded to Strong Buy with a $310/share target, reflecting robust AWS growth and discounted valuation at 15.28x EV/EBITDA. AWS backlog reached $244B, supporting a $200B capital budget for FY26, despite expected near-term margin compression from heavy reinvestment. Custom silicon adoption, especially Graviton and Trainium, is accelerating, with a $10B run rate and 50% YoY growth for Graviton.
Amazon stock (NASDAQ: AMZN) has seen a 14.1% fall over the last 5 trading days. The recent decline has sparked renewed worries regarding its substantial $200 billion investment in AI and infrastructure, as well as slower growth in AWS compared to its competitors.
Amazon has signaled to publishing industry executives that it is planning to launch a marketplace where publishers can sell their content to firms offering artificial intelligence products, The Information reported on Monday.