Amazon Stock Is Underperforming Badly in 2025. What It Needs in Q4.

We are quickly nearing the end of the third quarter, and while the S&P 500 Index ($SPX) has pared some gains, it is still near its record highs and is up 13.3% year to date. All Magnificent 7 stocks were positive for the year as of last week, as Apple (AAPL) and Tesla (TSLA), which were in the red previously, rebounded from their lows.

Alphabet (GOOG) (GOOGL), too, has been a hot trade and joined the $3 trillion market cap club. One name that has underperformed amid the market rally is Amazon (AMZN). The stock is barely in the green this year and has been trading flat for the last three months, even as Magnificent 7 peers have raced ahead. In this article, we’ll analyze why AMZN has underperformed this year and examine whether the stock can play catch-up in the final quarter of the year.