Amazon Grows 25% on AI Wins, $20B Chip ARR, Q1 Earnings Loom
Amazon shares have gained over 25% in the past month on AI infrastructure wins including a Meta AWS Graviton5 chip deal and a $100+ billion Anthropic commitment. Its custom chip business runs at over $20 billion ARR, while analysts forecast $200 billion in 2026 capex before its April 29 earnings.
1. Stock Performance Surge
Amazon shares have climbed more than 25% over the last 30 days, outperforming the broader market as investors bet on the company's AI infrastructure initiatives and future growth catalysts.
2. AI Infrastructure Deals
The company secured a significant agreement with Meta to supply AWS Graviton5 chips and locked in a 10-year, $100+ billion commitment from Anthropic, underscoring AWS’s expanding role in the generative AI ecosystem.
3. Custom Chip Business Outlook
Amazon’s in-house chip division is now generating over $20 billion in annual revenue run rate with triple-digit growth, though the stock trades at a 37 P/E ratio and faces $200 billion in planned capital expenditures for 2026.
4. Q1 Earnings Preview
With first-quarter results due April 29, analysts will focus on AWS growth, AI chip demand and guidance for ongoing capex, all key factors that could drive the next leg of share performance.