Amazon (AMZN) is being left behind in the latest artificial intelligence-driven market rally, even as several major technology stocks push toward record highs.<\/p>\n\n\n\n
Amazon shares have declined roughly 2.4% over the past month<\/strong>, contrasting with gains for Nvidia, AMD, Microsoft, Alphabet and Meta. At approximately $251 per share<\/strong> and 20 times trailing earnings, Amazon is trading at its lowest valuation as a public company, according to TrendSpider.<\/p>\n\n\n\n Several factors appear to be weighing on investor sentiment. The Federal Trade Commission and 22 states recently filed a lawsuit alleging Amazon\u2019s advertising practices resulted in roughly $20 billion in overcharges<\/strong> to advertisers since 2019. Amazon disputes the allegations, arguing advertisers receive significant value from its platform.<\/p>\n\n\n\n Investors are also scrutinizing Amazon\u2019s aggressive artificial intelligence infrastructure spending. The company recently increased its expected 2026 capital expenditures to approximately $220 billion<\/strong> as it expands AI and cloud capacity.<\/p>\n\n\n\n Evercore ISI analyst Mark Mahaney expects spending to climb even further, estimating capital expenditures of $320 billion in 2027 and $370 billion in 2028<\/strong>.<\/p>\n\n\n\n While those investments could strengthen Amazon\u2019s long-term AI position, Mahaney estimates they could push free cash flow to approximately negative $50 billion<\/strong> in both 2027 and 2028, creating near-term concerns for investors.<\/p>\n","protected":false},"excerpt":{"rendered":" Shares trade near historically low valuation as investors weigh massive AI investments and FTC advertising lawsuit Amazon (AMZN) is being left behind in the latest artificial intelligence-driven market rally, even as several major technology stocks push toward record highs. Amazon shares have declined roughly 2.4% over the past month, contrasting with gains for Nvidia, AMD, […]<\/p>\n","protected":false},"author":2,"featured_media":1490,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","jnews-multi-image_gallery":[],"jnews_single_post":[],"jnews_primary_category":[],"jnews_social_meta":[],"jnews_override_counter":[],"jnews_post_split":[]},"categories":[407,377,332,362],"tags":[560,421,416,418,417],"coauthors":[454],"_links":{"self":[{"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/posts\/11283"}],"collection":[{"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/comments?post=11283"}],"version-history":[{"count":1,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/posts\/11283\/revisions"}],"predecessor-version":[{"id":11284,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/posts\/11283\/revisions\/11284"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/media\/1490"}],"wp:attachment":[{"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/media?parent=11283"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/categories?post=11283"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/tags?post=11283"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/stoxpo.com\/index.php\/wp-json\/wp\/v2\/coauthors?post=11283"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}