Amazon’s shares rose 3.97% to close at $266.43 on Friday, extending gains after the company announced an expanded partnership with Nvidia to deploy over 2 million additional high-performance GPUs in its AWS data centers by 2028.
The rally followed an announcement two days prior detailing the deployment of Nvidia’s Blackwell Ultra, Rubin, and Rubin Ultra chips, tripling Amazon’s total committed GPU count to more than 3 million units. The move comes as Nvidia reported record quarterly revenue growth exceeding 100% year-over-year, reinforcing investor confidence in AI infrastructure investments.
Analysts responded with upgrades and higher price targets. Evercore ISI’s Mark Mahaney raised his target to $355 from $315, forecasting Amazon’s stock could reach new all-time highs within 12 months. Andrew Boone of JMP Securities increased his price target to $315, citing improved AWS outlook. The average Wall Street price target now stands around $320, with most analysts maintaining Buy ratings.
AWS delivered its strongest revenue growth in five years, with second-quarter revenue up 37% year-over-year to $27.2 billion. The division’s contracted backlog reached $496 billion, supported by anchor customers including OpenAI and Anthropic. Amazon also joined over 100 technology companies in a joint warning about an impending rise in AI-driven cyberattacks.
The broader market showed mixed performance, with the S&P 500 down 0.3%, the Dow essentially flat, and the Nasdaq declining 0.5%. Amazon’s stock advance outpaced gains in the retail sector, where the group posted more modest increases.
Shares closed at $266.43, up $10.17 for the session, and traded at $266.22 in after-hours activity. The stock has risen more than 36% from its 52-week low of $196.
