Barclays is Still Betting Big on Amazon Stock: AMZN Will 'Continue to Outperform'

Barclays reiterated a bullish view on Amazon (AMZN.OQ), arguing the company is positioned to outperform mega-cap peers based on fresh disclosures. Key drivers include AWS’s AI business (reported at a $15 billion annualized run rate in Q1 2026) and a broader $142 billion ARR AWS footprint, accelerating AI-related demand, and Amazon’s custom chip unit (running at ~$20 billion ARR) that Barclays values at roughly $50 billion as a standalone business. Barclays also highlighted Amazon’s plan to deploy more than 1 million Nvidia GPUs in 2026–27 — capacity that could support up to ~$100 billion in annual AWS revenue — and the company’s growing retail moat, with U.S. grocery gross sales topping $150 billion in 2025. Analysts show a consensus “Strong Buy” and an average price target implying ~13% upside. Barclays’ view reinforces a positive market outlook for AMZN shares and supports expectations of continued outperformance among cloud/AI beneficiaries.