Amazon's stock price plunged nearly 4%, primarily due to a surge in AI capital expenditures and a slowdown in cloud business growth

On February 5, 2026, local time, Amazon's stock price fell by more than 4% after the company announced a significant increase in its investment in artificial intelligence. The company expects capital expenditures to increase to approximately $200 billion in 2026, a year-on-year increase of nearly 60%. The substantial increase in spending, coupled with its cloud computing division's lagging performance compared to competitors in the fourth quarter, raised concerns about pressure on the company's profits, leading to significant downward pressure on the stock price.