Does Amazon.com (AMZN) Have More Upside?
Key takeaways
- Fahad Saleem Thu, May 21, 2026 at 11:18 PM GMT+7 2 min read AMZN We just covered the 10 Best Pick and Shovel AI Stocks to Buy for the Long Term.
- Amazon Web Services was already a leader in the cloud market when the AI revolution started, and that position has significantly boosted its growth.
- Amazon Web Services is no longer just a cloud and software-focused AI company.
Does Amazon.com (AMZN) Have More Upside? Fahad Saleem Thu, May 21, 2026 at 11:18 PM GMT+7 2 min read AMZN We just covered the 10 Best Pick and Shovel AI Stocks to Buy for the Long Term. Amazon.com, Inc. (NASDAQ:AMZN) ranks #3 (see 5 Best Pick and Shovel AI Stocks to Buy for the Long Term).
Amazon Web Services was already a leader in the cloud market when the AI revolution started, and that position has significantly boosted its growth. Demand has increased as AI companies and enterprises now need far more computing power to train and run large models, driving higher usage of AWS’s GPU-based cloud services and AI chips like Trainium and Inferentia. The result? AWS revenue rose 28% in Q1, amounting to about a $150 billion annualized run rate, marking its fastest growth in 15 quarters.
Amazon Web Services is no longer just a cloud and software-focused AI company. Its AI-focused Trainium chip line is seeing strong demand and rapid scaling. Trainium has already built a backlog of over $225 billion, and that figure had crossed $20 billion earlier while still growing at a triple-digit year-over-year rate.