Amazon will be standing still on the stock market in 2025. Investors complain about a lack of AI strategy and unclear growth targets. Nevertheless, analysts see an opportunity for a new beginning.
• Amazon is falling behind on the stock market and is the weakest stock among the Big Techs
• Investors criticize a lack of clarity about the AI strategy and future of the AWS cloud division
• Analysts see growth potential through AI cooperation with Anthropic
Amazon has long been considered a pioneer in the cloud business. But in 2025 the company will lose ground. Amazon shares have barely moved since the beginning of the year, while other tech stocks such as NVIDIA and Microsoft have seen significant gains in some cases. Many investors are now asking themselves whether Amazon has fallen behind in the race for the future technology of artificial intelligence.
From cloud king to Big Tech’s problem child
Mizuho analyst Jordan Klein told MarketWatch that investors are increasingly frustrated by the lack of a clear AI roadmap. Amazon CEO Andy Jassy also missed a precise forecast for the future growth of the cloud division at the Q2 conference.
The lack of strategy is also reflected in the numbers: While the cloud division Amazon Web Services (AWS) grew by 17.5 percent in the second quarter of 2025, only meeting analysts’ expectations, competitors such as Google Cloud grew by 32 percent and Microsoft’s Azure business even by 39 percent.
Structural brake causes uncertainty among investors
A report from Barchart shows that uncertainty over Amazon’s cloud and AI strategy is reflected in its share price. While other members of the so-called “Magnificent Seven” such as Microsoft and Alphabet are making gains, Amazon is still treading water. Richard Windsor, founder of Radio Free Mobile, attributes this primarily to increasing competition in the cloud market. Microsoft benefits greatly from its close partnership with OpenAI, while Amazon is still struggling with supply bottlenecks for chips and energy.
CEO Andy Jassy also recently spoke openly about these problems. He explained that access to computing power, chips and server components are currently the biggest hurdles for AWS. According to MarketWatch, these shortages could last for several more quarters before growth accelerates again. For many investors, this means waiting and watching to see how Amazon responds to these challenges.
AI partnership with Anthropic as a glimmer of hope?
Despite the weak interim results, some analysts see an opportunity in the current situation. According to TipRanks, Goldman Sachs remains optimistic and recently raised its price target from $240.00 to $275.00. Top analyst Eric Sheridan called Amazon a “preferred large cap” among major technology stocks.
The analyst expects AWS to grow by more than 20 percent in the second half of 2025 and 2026. Wells Fargo analyst Ken Gawrelski also joins in here: According to MarketWatch, he expects significant sales growth from AWS from 2026, driven by the partnership with the AI company Anthropic.
Between lull and new beginnings
Amazon faces a turning point in 2025. As competitors expand their AI initiatives, the e-commerce and cloud giant is struggling with structural bottlenecks and an uncertain investor base. Whether Amazon’s investments in artificial intelligence and infrastructure actually pay off will become apparent in the coming year. Until then, the group remains in focus – and investors are waiting for the signal of a turnaround.
Editorial team finanzen.net