Amazon shares fell around 2% at the start of 2026. This decline occurred as investor focus shifted from enthusiasm for artificial intelligence to the substantial costs and uncertain returns of AI infrastructure.
The slide reflects a broader market re-evaluation of mega-cap technology firms. Investors now demand clearer evidence that massive AI capital expenditures will translate into sustainable profits.
The early-year dip follows stock underperformance throughout 2025. Consumer demand for Amazon’s services remains strong, but the market shows increasing impatience for tangible profitability from its significant AI ventures.
Analysts suggest the company’s long-term competitive position is robust. The stock’s immediate future, however, depends on Amazon demonstrating a clearer path to AI monetization.