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    Should Amazon’s AI Spending Surge and New Wellness Partnerships Require Action From Amazon.com (AMZN) Investors?

    Simply Wall St·08/31/2026 09:22:28
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    • In recent weeks, Sports Research launched its new Informed Sport Certified Creatine Capsules on Costco shelves and Amazon, while Natural Environmental Solutions brought Morgan’s plant-based rodent repellents to Amazon and Walmart.com, and Suzie DeVaughn released her psychospiritual guide “I AM Inner Mastery” on Amazon and Barnes & Noble.
    • Alongside Amazon’s expanded Nvidia GPU orders, record capital spending on AI and cloud infrastructure, and ongoing automation initiatives, these launches highlight how third-party brands and content creators continue to deepen Amazon’s role as both a retail and cloud backbone for consumer wellness, home care, and digital media.
    • We’ll now examine how Amazon’s record AI-focused capital spending and expanded Nvidia partnership could influence this existing investment narrative.

    Find 45 companies with promising cash flow potential yet trading below their fair value.

    Amazon.com Investment Narrative Recap

    To be comfortable owning Amazon, you need to believe that AWS’s high margin cloud and AI infrastructure, plus a still-scalable retail marketplace, can justify the company’s very heavy capital spending. The latest wellness, home care and publishing launches on Amazon’s marketplace are immaterial to that thesis, and do not change the near term focus on AI driven capex as the key catalyst or on rising data center and chip investment as a central risk.

    The most relevant recent development here is Amazon’s move to triple its Nvidia GPU orders alongside a roughly US$220 billion capex plan, underscoring how central AI and cloud infrastructure remain to the story. For investors, this deepens the importance of watching whether AWS can sustain attractive economics as capital intensity, competition and supply constraints all increase.

    Yet behind Amazon’s AI build out, investors should also be aware that rising data center and semiconductor costs could...

    Read the full narrative on Amazon.com (it's free!)

    Amazon.com's narrative projects $1152.4 billion revenue and $158.3 billion earnings by 2029.

    Uncover how Amazon.com's forecasts yield a $327.00 fair value, a 23% upside to its current price.

    Exploring Other Perspectives

    AMZN 1-Year Stock Price Chart
    AMZN 1-Year Stock Price Chart

    Simply Wall St Community members see Amazon’s fair value from US$231 to US$475 across 59 views, so opinions clearly vary. Set against that spread, the sheer size of Amazon’s current AI capex program raises important questions about future returns and margin resilience that readers may want to examine from several angles.

    Explore 59 other fair value estimates on Amazon.com - why the stock might be worth 13% less than the current price!

    Decide For Yourself

    Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts.

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.