Amazon’s shares climbed 3.6% to $265.60 in afternoon trading, nearing a session high of $267.56 and well above its 52-week low of $196.
The advance followed Amazon Web Services’ announcement of a major expansion in its partnership with Nvidia, committing to deploy an additional 2 million high-performance GPUs—including Blackwell Ultra, Rubin, and Rubin Ultra models—across its global data centers in 2027 and 2028. The commitment more than triples AWS’s total GPU allocation to over 3 million units, reflecting surging demand for AI computing capacity.
The partnership was unveiled two days prior to the stock’s rise, coinciding with Nvidia’s record quarterly results, which showed revenue more than doubling year-over-year. AWS’s second-quarter revenue grew 37% year-over-year, the fastest pace since 2021, while its contract backlog reached $496 billion.
Analysts responded with upward revisions to price targets. Andrew Boone raised his projection for AWS, setting a new target of $315, citing accelerating AI demand from anchor clients such as OpenAI and Anthropic. Mark Mahaney of Evercore ISI lifted his target from $315 to $355, forecasting a recovery to new all-time highs within 12 months. Wall Street’s consensus average price target now stands near $320, with multiple analysts maintaining buy ratings.
The broader market showed mixed performance, with the S&P 500 down 0.3%, the Dow Jones essentially flat, and the Nasdaq declining 0.5%. Amazon also joined over 100 technology companies in a joint letter warning of an impending wave of AI-driven cyberattacks.
