Core Insights - Amazon's stock price fell over 5% following the announcement of a significant capital expenditure plan of $200 billion for 2026, raising concerns among investors [1][6]. Financial Performance - Amazon's fourth-quarter net sales increased by 14% to $213.4 billion, with advertising sales rising 23% to $21.3 billion [3][5]. - Amazon Web Services (AWS) reported sales of $35.6 billion, with revenue growth accelerating to 24%, contributing to a full-year sales total of $128.7 billion and operating income of $45.6 billion for 2025 [3][5]. - The company's operating income for the fourth quarter rose 18% to $25 billion [5]. Market Outlook - For the first quarter of 2026, Amazon projects net sales growth of 11% to 15%, estimating sales between $173.5 billion and $178.5 billion, with operating income expected to be between $16.5 billion and $21.5 billion [6]. - CEO Andy Jassy expressed confidence in generating strong long-term returns on invested capital, particularly due to increasing demand for Amazon's AI offerings [7].

Core Insights - Amazon (AMZN) missed EPS estimates in its December-quarter report, but the business is performing well overall [1] - The market's negative reaction was primarily due to Amazon's significant capital spending plans for 2026, which raised concerns about the broader AI landscape and its potential impact on legacy technology earnings [1][2] Capital Expenditure Plans - Amazon plans to increase its capital expenditures to $200 billion in 2026, up from $132 billion in 2025 and $83 billion in 2024 [2] - This substantial increase in spending has led to concerns that 2026 capex may exceed operating cash flows, which modestly surpassed $132 billion in 2025 [2][3] Business Performance - Amazon's core businesses are thriving, particularly its cloud unit, Amazon Web Services (AWS), which saw a revenue increase of 24% in Q4 2025 compared to the previous year [4] - AWS backlog grew by 40% year-over-year to $244 billion, indicating strong demand [4] - In comparison, Google Cloud's revenue increased by 48% in Q4 2025, highlighting competitive momentum in the cloud sector [4] Market Context - Amazon shares have declined by 8.8% over the past year, underperforming the broader market's 15.8% gain and Alphabet's 74.1% rise [3] - The Magnificent 7 group, which includes Amazon, is projected to account for 26.6% of all S&P 500 earnings in 2026 and 33.5% of the index's market capitalization [9]

The S&P 500 on Friday rose 1.97%, recording its best day since May, as it rebounded from a week of dramatic selling triggered yet again by the AI boom and what it will mean for the economy, companies and the labor market.The Nasdaq Composite also surged 2.18% on Friday. But the rebound masked a sell-off in many tech names.Shares of Amazon, the fifth largest public company in the world, sank 5.58% after it said Thursday that it planned to spend $200 billion in the coming year. That money is primarily expecte ...

On Feb. 6, 2026, investors weighed a massive AI buildout against dwindling free cash flows and the timing of a return on investment from this spending.NASDAQ : AMZNAmazonToday's Change( -5.49 %) $ -12.22Current Price$ 210.47Key Data PointsMarket Cap$2.4TDay's Range$ 200.31 - $ 211.3952wk Range$ 161.38 - $ 258.60Volume9.8MAvg Vol42MGross Margin50.05 %Amazon (AMZN 5.49%), which operates a global e-commerce platform and cloud computing services, closed Friday at $210.32, down 5.55%. The stock fell after manage ...

Jim Cramer is urging Amazon investors to remain patient and trust the cloud and e-commerce company's massive spending strategy despite the evident risks it poses to profits. "I have total faith," Jim said on Friday's "Squawk on the Street." "[Amazon CEO Andy Jassy] knows how to do this. So, I believe, and I'm not bolting." Amazon shares fell 5.6% on Friday to $210 each after management issued the evening before a 2026 capital expenditures guide of $200 billion, compared to the $146.6 billion expected. The c ...

Core Insights - Amazon's stock has declined approximately 9% since the beginning of the year, with a notable drop of over 5% on a day when the Dow Jones Industrial Average reached a record high [1][1][1] - The company reported profits that fell short of expectations and announced plans to spend up to $200 billion on capital expenditures this year, primarily focused on its cloud business and AI expansion [1][1][1] - Several Wall Street analysts have lowered their price targets for Amazon stock due to concerns about the company's spending, despite maintaining bullish ratings [1][1][1] Financial Performance - Amazon's recent profit report missed expectations, leading to a significant decline in stock price [1][1] - The company plans to invest heavily in AI and cloud infrastructure, with a capital expenditure forecast of up to $200 billion for the year [1][1] Analyst Reactions - Analysts from major firms such as Oppenheimer, HSBC, and JPMorgan have adjusted their price targets downward while still expressing confidence in Amazon's long-term growth potential [1][1][1] - Concerns have been raised about the need for tangible returns on investment before investors will fully support the company's aggressive spending plans [1][1]

SAN DIEGO, Feb. 6, 2026 /PRNewswire/ -- Robbins Geller Rudman & Dowd LLP announces that purchasers or acquirers of CoreWeave, Inc. (NASDAQ: CRWV) securities between March 28, 2025 and December 15, 2025, both dates inclusive (the "Class Period"), have until Friday, March 13, 2026 to seek appointment as lead plaintiff of the CoreWeave class action lawsuit. Captioned Masaitis v. CoreWeave, Inc., No. 26-cv-00355 (D.N.J.), the CoreWeave class action lawsuit charges CoreWeave as well as certain of CoreWeave's top ...

Artificial intelligence remains the defining investment theme of this cycle, and few developments reinforce that view more clearly than the latest spending plans from Amazon ((AMZN) and Alphabet ((GOOGL). Both companies recently updated investors on their capital expenditure outlooks, signaling an aggressive push to expand data center capacity and AI infrastructure. Combined, the two technology leaders are expected to invest close to $400 billion this year to support the next phase of data center expansion. ...

as we welcome in Steven our CEO and founder of Quaazar Markets. So glad you are with us. I know we're going to talk a lot about tech and AI.But Stephen our chance for a victory lap pertaining to silver. Um you told me I think it was a Friday that you said I'm short silver. You were a little early but then it sold off. It went up and then it sold off and then you said now I'm buying silver.and and here's a look at this incredible chart and you were a little early and then it took off. Um, tell us a little bi ...

Microsoft's Cash Flow Holds Up As AI Spending ExplodesAnalyst Stefan Slowinski said the Big 5 hyperscalers now expect to spend nearly $700 billion in capex this year, up about 65% year over year.The analyst argued that Microsoft's free cash flow remains the most resilient, while peers' free cash flow trends toward negative territory.He projected Microsoft's FCF margin at roughly 22%, compared with about 5% or lower for others, positioning Microsoft as a more disciplined AI spender as return concerns grow.Sl ...