Amazon Is Navigating a $200B Spending Cycle — AMZN Stock Is Still a Buy Now

Amazon's (AMZN) stock has struggled to keep pace with the broader market in 2026. While the S&P 500 ($SPX) has advanced more than 7% year-to-date (YTD), Amazon shares have remained largely flat, reflecting growing investor concerns about the company’s aggressive spending plans despite its strong long-term growth narrative.

Amazon’s management has outlined plans to spend roughly $200 billion through 2026, with the majority of this investment directed toward expanding Amazon Web Services (AWS) and building the infrastructure required to support artificial intelligence (AI) workloads. Although the strategy reflects Amazon’s ambition to strengthen its leadership in cloud computing and AI, investors are questioning whether these massive expenditures will generate returns quickly enough to justify the near-term financial burden.