Amazon Investors Bet on AWS to Pull the Stock Out of Its Malaise

The optimism starts with demand for the Amazon Web Services cloud-computing business, which is positioned to benefit from the explosion of artificial intelligence technology. “An improvement in AWS should help materially in terms of the perception of the stock as being the relative loser in cloud,” said Pat Burton, a portfolio manager at Winslow Capital Management, who counts Amazon as one of his biggest overweights among the Magnificent Seven tech giants. Amazon shares were the worst performers among the Mag Seven in 2025, their seventh straight year trailing the group.