Amazon Ticker AMZN Stock Price Earnings and Growth Forecast
Amazon’s current stock price hovers around $209, following a sharp drop tied to its aggressive spending plans. It reported strong Q4 results but spooked investors with a $200 billion capex commitment for 2026—primarily aimed at AI, robotics, chip infrastructure, and satellites . Let’s jump into the earnings and the growth outlook, no fluff.
Stock Price Snapshot
Right now, Amazon shares trade near $209 citeturn0finance0. Recently, there’s been a notable slide—over 5% intraday and up to 11% in after-hours action—following Amazon’s capital spending announcement .
The 52-week range spans $161 to $258, underlining recent volatility .
Earnings Recap: Q4 2025
Amazon reported $213.4 billion in revenue, up about 14% year-over-year, driven by robust holiday demand . AWS grew its revenue by 24%, Amazon’s fastest cloud growth in a while .
Adjusted EPS came in at $1.95, slightly under the $1.97 estimate, which contributed to the investor jitters . Despite strong topline numbers, the gloomy operating income forecast for Q1 added to the concerns .
Capex Shock: $200 Billion for 2026
Amazon is planning to nearly double its capital expenditures—from $125 billion in 2025 to $200 billion in 2026. That’s a near 60% hike, mostly aimed at AI infrastructure, robotics, semiconductors, and low-earth orbit satellite deployment .
CEO Andy Jassy says it’s a long-term bet but short-term pains, especially in margins, are expected . Investors responded with a wave of selling—Amazon shares dived 11% after hours .
Analysts Still Bullish: Growth Forecasts
Although the spending spree rattled investors, analysts remain optimistic—here’s why:
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Evercore ISI’s Mark Mahaney calls Amazon a “top pick” with ~50% upside, backed by AWS recovery, demand for Trainium AI chips, ad growth, and Alexa+ rollout .
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Goldman Sachs’ Eric Sheridan maintains a Buy rating, with a $290 price target, expecting cloud and AI to drive growth .
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BMO’s Brian Pitz sees AWS rebounding with enterprise AI adoption, raising his target to $304 .
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Bank of America’s Justin Post highlights Amazon’s potential $10B+ investment into OpenAI, reinforcing AWS and Trainium AI chip demand, setting a $303 target .
Overall, consensus on TipRanks leans Strong Buy, with average price targets around $297, implying ~30% upside from current levels .
2026–2030 Growth Outlook
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Motley Fool sees potential for a 10%+ stock price increase by end of 2026, with upside beyond $400 by 2030 if AI spending pays off .
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Estimates suggest AWS could grow 30%+ in 2026, boosting revenue materially .
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Trefis projects 2026 EPS at $7.86 (vs $7.06 in 2025) and revenue near $790 billion—around 11% growth .
They foresee AI infrastructure ramp generating stronger margins in 2027–2028, once CapEx matures .
What Could Drive the Rebound?
AWS and AI Infrastructure
AWS is doubling capacity by 2027—each added gigawatt could bring ~$3B in annual revenue (per Oppenheimer) . New chips (Trainium2, Trainium3) offer strong price-performance vs Nvidia, and enterprise AI demand is rising .
Advertising Expansion
Amazon’s ad business is booming—Q3 2025 run rate exceeded $70B, with forecasts pointing to $80–85B in 2026 . It combines retail media, Prime Video ads, and DSP across external platforms—delivering high margins versus retail .
Retail Resilience
Amazon’s retail segments (North America and International) could grow mid-single digits. Improvements in grocery offerings, Amazon Haul fighting Temu/Shein, Amazon Business, and third-party seller services could stabilize margins .
Moonshots: Zoox, Kuiper, Pharmacy
These ventures offer optionality, though minimal revenue in 2026. If one of these scales fast—like AWS did—they could add material upside by 2028–2030 .
Final Thoughts
Amazon’s current dip stems from short-term profit concerns tied to its bold $200 billion capex push. Q4 results were solid, yet market sentiment is cautious.
Still, top Wall Street analysts foresee 30–50% upside, citing AWS reacceleration, AI chip growth, ad strength, and enterprise AI tailwinds. If capex starts delivering in 2027–2028, earnings could surge.
Amazon’s strategy is a long-game one. Short-term pain, yes. Long-term payoff? Many think it’s big.
FAQs
Q: What’s Amazon’s current stock price?
Around $209, recently volatile after earnings and capex news .
Q: Why did Amazon’s stock drop despite strong revenue?
The surprise was the $200 billion CapEx plan, which raised concerns over near-term profitability .
Q: Are analysts still bullish on Amazon?
Yes. Analyst consensus remains Strong Buy, with price targets around $290–$304, and some seeing up to 50% upside .
Q: What is driving future growth for Amazon?
Key drivers include reacceleration at AWS driven by AI capacity build, booming advertising, retail resilience, and optional upside from ventures like Zoox and Kuiper .
Q: What are the major risks?
High upfront spending may weigh on margins if demand underwhelms. Competitive pressures and imperfect execution on AI infrastructure pose risks.
In summary, Amazon looks like a tractor—slow to turn, but once it does, it covers ground fast. Investors are betting that today’s infrastructure investments will kick in hard in the next few years.
