Amazon (AMZN-US) Hikes 2026 Capex to $20B, Cloud Surge Sparks Post-Market Drop Over 10%

Amazon (AMZN-US) released its fourth-quarter results on February 5, 2026, with the stock falling 4.42% on regular market hours and 10.03% in after-hours trading to $200.35 per share, following a capital expenditure guidance upgrade that raised investor concerns. The company announced it plans $20 billion in 2026 capital spending—well above the FactSet average of $1.466 trillion—fueled by strong AI demand and investment in data centers and infrastructure. Key results: EPS $1.95 vs. $1.97; revenue $213.39B vs. $2,113.3B consensus; net income $211.9B ($1.95/share), up from $200B ($1.86/share) a year earlier. AWS revenue rose 24% to $355.8B, outpacing the $349.3B consensus and accounted for about 17% of the company’s total revenue in the quarter. AWS GAAP margin expanded to 35% from 34.6%. AWS launched the Nova Forge platform for enterprise model training with Amazon generative AI, and the company’s 2025 added nearly 4GW of compute capacity. Amazon also reported about 1.6 million job cuts in early 2026, bringing its global workforce to 15.7 million as of December.