Amazon (AMZN)
NASDAQConsumer DiscretionaryInternet RetailSnapshot 2026-07-08
$245.98+0.75%
Close 2026-07-07 · 1-day change
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Track AMZN free→Amazon keeps growing AWS revenue by about 24% in 2026-Q1. It plans to invest $200 billion in capital spending this year. The company beats earnings estimates most quarters and expands AI and cloud services. These moves support steady revenue growth near 16%.
Amazon's large $25 billion bond sale may strain capital allocation. Regulatory risks in India and borrowing costs could slow growth. If AWS or AI investments falter, profit margins may shrink and revenue growth could fall below 10%.
The price is about 13% above our fair value near $218 and 32% below the Street median target. Analysts expect about 16% revenue growth, which aligns with management guidance. Our view is cautious on capital spending risks and regulatory challenges.
Breaks if: AWS revenue growth falls below 15% YoY next quarter
Amazon aims to expand its AWS and AI capabilities, focusing on innovation and customer solutions.
Stated in 6 of last 6 quarters. AWS revenue grew from $28.8 billion in 2024-Q4 to $33.0 billion in 2025-Q3, and further to $35.6 billion in 2025-Q4. The trajectory shows consistent growth, delivering on the expansion of AWS and AI capabilities.
Standing thesis, reviewed periodically — not a price target or advice.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
“AWS growing 24%...our chips business growing triple digit percentages year-over-year.”
“AWS is growing at a pace we haven’t seen since 2022, re-accelerating to 20.2% YoY.”
“AWS segment sales increased 20% year-over-year to $33.0 billion.”
“AWS segment sales increased 17.5% year-over-year to $30.9 billion.”
“AWS segment sales increased 17% year-over-year to $29.3 billion.”
“AWS segment sales increased 19% year-over-year to $28.8 billion.”
Breaks if: Capital expenditures fall below $150 billion in FY26
Amazon plans to invest about $200 billion in capital expenditures across 2026.
Stated in 2 of last 2 quarters. Amazon plans to invest about $200 billion in capital expenditures in 2026. This significant capital allocation is in progress, with no specific financial impact disclosed yet. The trajectory is in the early stages.
“We expect to invest about $200 billion in capital expenditures across Amazon in 2026.”
“Significant capital investment planned for 2026.”
Breaks if: Operating income falls below $13B next quarter
Breaks if: Significant regulatory restrictions imposed on Amazon's India operations
Breaks if: Total revenue growth falls below 10% YoY next year