Amazon Faces Longest Five-Day Losing Streak Since 2006 as AI Costs Rise
Amazon shares have fallen in five straight sessions, marking the longest losing streak since 2006 and a roughly 12% drop month-to-date. Investors are increasingly wary as AWS plans to boost AI infrastructure spending by about 30% to $20 billion in 2026, putting pressure on margins.
1. Consecutive Selloff Details
Amazon’s stock has declined for five sessions in a row, its longest losing streak since June 2006. The share price is down about 12% month-to-date, wiping out more than $120 billion in market value as broader Big Tech names also pull back.
2. Rising AI Infrastructure Outlays
Management has outlined a plan to increase AWS investment in AI servers, data-processing and R&D by roughly 30%, taking the 2026 AI budget to about $20 billion. Analysts warn that while the move could boost long-term competitiveness, near-term margins and free cash flow may come under strain.