Amazon Stocks Decline 3.52% With AWS Profitability in Focus
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Amazon Stocks Decline 3.52% With AWS Profitability in Focus Khac Phu Nguyen Thu, November 5, 2026 at 1:59 PM EST 1 min read AMZN -2.61% This article first appeared on GuruFocus . Amazon ( NASDAQ:AMZN ) traded at $256.68, down 3.52%, at 10:45 a.m. ET in November 5 regular trading. The retail and cloud giant's session data showed shares under pressure, while its October 29 earnings put one business firmly in focus: AWS. Cloud demand and the cost of expanding AI infrastructure remain central to the investment case. Warning! GuruFocus has detected 6 Warning Signs with AMZN. Is AMZN fairly valued? Test your thesis with our free DCF calculator. Amazon's third-quarter results showed revenue of $201.9 billion and operating income of $28.1 billion. AWS contributed $46 billion in revenue and $17.8 billion in operating income, with cloud sales climbing 39.3% year over year against 12% growth across the company. That means AWS produced roughly 63% of operating income from just 23% of revenue, with an operating margin near 39%. These are the previously reported quarterly figures, rather than a fresh update on November 5. The GuruFocus snapshot adds another angle: a GF Score of 94/100, with growth the strongest chart component and financial strength comparatively weaker. It also flags two severe warning signs without identifying them, so the high score deserves context. For investors, the spending question cuts both ways. Slower expansion could preserve cash in the near term, while too little capacity could hold back cloud revenue. AWS growth, capacity utilization and cash generation could help show whether Amazon's infrastructure spending is paying off.
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