Amazon Stock Plunges Over 10% in February Among Top Tech Names

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Amazon shares dropped over 10% through February, making it one of the worst performers among the Magnificent 7 as broad market volatility returned. The selloff reflected investor rotation away from high AI and cloud spending names as geopolitical tensions and capital expenditure concerns mounted.

1. February Selloff Details

Amazon shares plunged over 10% in February, marking one of the steepest declines among the Magnificent 7 tech leaders. The slide occurred despite no major company-specific announcements, underscoring a sector-wide downturn.

2. Drivers of Decline

The pullback reflected a rotation away from high AI and cloud spending names, as investors grew cautious over hefty capital expenditures. Additional pressure came from renewed market volatility and geopolitical tensions fueling concerns about broader economic stability.

3. Peer Performance Context

Within the Magnificent 7 cohort, Microsoft fell nearly 17% year to date through February, while Apple was the only member to post positive returns, gaining 1.9%. Amazon's decline aligned with the group’s weakest performers, highlighting sector-wide headwinds.

Sources

FYFFF