Amazon stock weighs AWS growth against rising AI spending
Published on 11/13/2026 at 12:58 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSAmazon's Cloud Growth Meets Spending Pressure
- AWS revenue rose 39.3% year over year in the third quarter, reaching 46 billion US dollars.
- Amazon expects 2026 capital spending of roughly 220 billion US dollars and higher spending in 2027.
- The investment case depends on converting contracted AI demand and AWS growth into stronger free cash flow.
Amazon is entering a decisive phase in its artificial intelligence investment cycle. A Yahoo Finance article based on Investing.com published on Friday, November 13, said the market is weighing accelerating cloud demand against the cash required to expand data-center capacity.
Amazon Web Services revenue increased 39.3% year over year to 46 billion US dollars in the third quarter. AWS operating margin reached 38.7%, while group revenue rose 12% to 201.9 billion US dollars and operating income climbed 61% to 28.1 billion US dollars. The figures strengthen the operating case for the cloud division, but they do not remove the financing challenge created by the infrastructure build-out.
AWS Momentum Versus Capital Intensity
Amazon spent 75.9 billion US dollars on capital expenditure in the third quarter and has set 2026 spending at roughly 220 billion US dollars. Management has indicated that expenditure will rise in 2027. The company has also reported a 578 billion US dollar AWS backlog, giving investors visibility into contracted demand while leaving open the question of when that demand will translate into free cash flow.
The spending debate is central to the stock's valuation. Amazon's free cash flow has turned negative as investment in AI capacity accelerates, and the article said the company must show that AWS growth can absorb higher depreciation, financing costs and operating pressure. Custom chips and the Bedrock software platform are part of Amazon's effort to capture more of the AI infrastructure economics.
Amazon stock traded at 244.28 euros on Lang & Schwarz at 12:53 CET on Friday, November 13, 2026.
Amazon.com Inc. stock facts
- Company: Amazon.com Inc.
- ISIN: US0231351067
- Trading venue: Lang & Schwarz
- Price: 244.28 euros at 12:53 CET on November 13, 2026
For investors, the next test is whether AWS can sustain growth above 40% while Amazon manages the cash demands of its infrastructure plan. The fourth-quarter results and clearer 2027 spending figures should provide the next major evidence.
US equities remain the wider market backdrop for the company; investors can follow the S&P 500 alongside Amazon.
