Amazon faces historic stock decline, losing $450B amid AI spending concerns
Amazon's stock is nearing its longest losing streak since 1997, shedding $450 billion due to investor concerns over massive AI infrastructure spending.Summary
Amazon's market value has dropped by approximately $450 billion since early February, potentially marking its longest run of daily stock declines since 1997 if it closes lower for a tenth consecutive session. This selloff stems from investor unease regarding Amazon's planned $200 billion capital expenditure for the year, which significantly surpassed Wall Street estimates, with the majority dedicated to AI-related infrastructure like data centers and semiconductors. Research firms like Wedbush Securities suggest Amazon is now in "prove it mode," requiring concrete returns to materialize before sentiment improves. This spending scrutiny is not isolated, as Alphabet, Microsoft, and Meta have also seen downturns after announcing elevated capital expenditure plans, with the four tech giants potentially spending a combined $700 billion this year.
(Source：Crypto Briefing)