On April 24, Amazon rose 3.06% intraday, trading at $262.76/share with trading volume of $6.416 billion. The stock gained momentum in pre-market trading and extended its advance into the regular session.
The immediate catalyst is a newly disclosed multi-billion dollar agreement between Meta Platforms and Amazon, under which Meta will use Amazon CPU chips for artificial intelligence workloads. Amazon had already climbed nearly 2% in pre-market on the news, which further validates the commercial viability of Amazon's custom silicon strategy.
The deal comes on the heels of a landmark partnership with AI startup Anthropic announced earlier this week. Amazon committed up to $25 billion in investment, with an initial $5 billion tranche, while Anthropic pledged to purchase over $100 billion in AWS computing resources over the next decade, deploying Amazon's proprietary Trainium AI chips at scale. Amazon has indicated total capital expenditure of approximately $200 billion this year, primarily directed toward AI infrastructure. Meanwhile, Cantor Fitzgerald raised its target price on Amazon to $280 from $260, maintaining an Overweight rating, reflecting broad institutional confidence in Amazon's cloud, e-commerce, and AI growth trajectory.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
