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$Amazon.com(AMZN)$ juicy 4.98% surge has Wall Street asking a very juicy question: Is the market finally ready to hand the AI leadership crown to a new tech giant?
If you want to protect your capital, the smarter more disciplined approach is to wait for the hard numbers. Why? Because the market is currently suffering from serious "Capex anxiety" & Amazon has to prove 2 critical metrics:
1. AWS Growth Re-acceleration: AWS is Amazon's ultimate profit engine. Wall Street will not crown Amazon as the new AI leader unless AWS shows explosive cloud revenue growth that matches or beats Microsoft Azure.
2. The Capex Return Proof: Amazon is on track to spend a huge amount on data centers & custom AI chips like Trainiun & Inferentia. Investors want concrete proof that this heavy infrastructure spending is converting into enterprise contracts, not just sitting idle in server racks.
There will be time to ride the trend once Amazon can show proof of monetisation.
@TigerStars
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