With shares of Amazon (AMZN) up 28% over the past month, it’s safe to say investors are at peace with the company’s massive artificial intelligence (AI) spending plans.
Read more: Big Tech’s AI Bets Pay Off: How to Play Latest Earnings
That could spell opportunity with the Direxion Daily AMZN Bull 2X Shares (AMZU), which is designed to deliver 200% of the daily performance of Amazon stock. Earlier this year, Amazon announced 2026 AI spending plans of $200 billion. While the initial reaction wasn’t positive, that tune has clearly changed for the better.
The stock’s new-found AI-related momentum could signal occasional opportunity with AMZU and with multiple catalysts at that. For example, in a recent CNBC interview, Amazon CEO Andy Jassy said AI is likely to be transformative when it comes to customer experiences. That’s noteworthy, because Amazon is the largest consumer discretionary company.
AI Could Be Huge for Amazon
Amazon investors and traders acquainted with AMZU know that Amazon Web Services (AWS) is one of the company’s cash cows. Experts expect it to generate $166 billion in sales this year. However, underscoring the potential validity of the company’s sizable AI investments, Jassy noted that AI is growing faster than AWS did in its early days.
“After the first three years of this incarnation of AI, our run rate is over $15 billion — 260 times what it was the first three years of AWS,” the Amazon CEO said in the CNBC interview.
