Some AI stocks have outperformed others, with Amazon lagging behind. Despite this, Amazon’s role in AI through Amazon Web Services (AWS) is crucial. While the stock has declined by 7% since 2025, revenue and earnings have increased. With Amazon’s strong Q4 performance due to AWS, there’s potential for a bounce-back in 2026.

AWS grew at a rapid 24% pace in Q4, signaling its importance in AI development. Despite plans to spend $200 billion on data centers in 2026, Amazon’s stock is seen as a good buy for potential future gains. With the market’s valuation of Amazon declining, now may be a reasonable time to invest in the stock for long-term growth.

Read more at Nasdaq: This Artificial Intelligence Stock Could Bounce Back in 2026