Amazon is surfacing as a top pick for 2026, with heavyweight bulls — including CNBC’s Jim Cramer — urging investors to take notice. After a muted 5% gain over the past year (one of the weakest performances among the Magnificent Seven), Amazon’s AI roadmap and continued strength at Amazon Web Services (AWS) have analysts betting on a meaningful rebound.
Cramer, who admitted he’s “been wrong about Amazon for the past four odd years,” said on-air he’s shifted to a longer-term view. He highlighted management’s track record — pointing to Andy Jassy’s success with AWS — and Amazon’s enduring consumer franchise, especially Prime. “You need stocks that you can work on for long, long periods of time,” Cramer said, arguing Amazon fits that profile if the company’s core businesses keep performing.
Wall Street echoes that optimism. Evercore ISI tech analyst Mark Mahaney flagged roughly 50% upside for AMZN next year and named it a top pick. Mahaney singled out AWS expansion, demand for Amazon’s Trainium AI chips, accelerating ad revenue, and momentum behind a revamped Alexa+ as growth drivers. He calls Amazon a “high-quality compounder” with an estimated 25% EPS compound annual growth rate, solid double-digit revenue growth, expanding operating margins, and a likely material increase in free cash flow over the next 24 months.
Truist Securities’ Youssef Squali is also upbeat, forecasting 10.5% growth for Amazon in 2026 (after 12.1% in 2025), with AI-driven services playing a central role. Another potential catalyst: Amazon is reportedly in talks with OpenAI about a possible $10 billion investment — a deal that could accelerate Amazon’s AI ambitions and further boost investor sentiment.
Why crypto traders should care: AWS is a major cloud provider for blockchain and crypto infrastructure, so stronger AWS growth could mean more scalable, cheaper cloud tools for web3 projects. An Amazon–OpenAI partnership, plus rising demand for Trainium chips and AI services, could shift developer activity and capital toward cloud-based AI tooling — which overlaps with on-chain and off-chain data, oracle services, and AI-driven crypto products. In short, Amazon’s comeback wouldn’t just matter to equity investors; it could reshape parts of the infrastructure landscape that crypto projects rely on.
Read more AI-generated news on: undefined/news
