πππ
$Amazon.com(AMZN)$ finds itself caught in the Bullwhip Shadow. This is the sting of over ordering inventory. In 2026 it is the fear of over ordering data centers.
The Capex Binge: Amazon is expected to increase capex exceeding USD 150 billion. After Google was punished for its USD 175 B+ forecast, investors are concerned that Amazon is overspending in Capex.
CEO Andy Jassy needs to prove that the massive billions being spent on AI infrastructure are actually hitting the bottom line now, not in 2028.
Amazon must deliver in 3 areas:
AWS needs to show growth of 21% or higher. Anything less, the AI laggard label returns with a vengeance.
The Margin Magic: Analysts are looking for EPS of USD 1.97. If the Bullwhip effect has squeezed margins too thin, not even a Prime Day record will help Amazon.
Trainium Chips: Investors want proof that Trainium chips are in demand.
It is going to be a bumpy ride tonight.
@Daily_Discussion @TigerStars @Tiger_comments @TigerClub
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Comments