Amazon stock has underperformed the S&P 500 in the last five years, but a recent drop may lead to future gains. North American sales reached $426 billion in 2025, with profit margins increasing. AWS revenue grew 24% last quarter, with plans to invest $200 billion in 2026.

Investors are concerned about short-term cash-flow hits, but Amazon’s profit potential remains strong. With AWS earnings potentially reaching $75 billion and North American retail growing to $50 billion, consolidated earnings could hit $150 billion.

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Read more at Yahoo Finance: Amazon’s Falling Stock Will Fuel 2026 Gains