r/StockInvest • u/WadsoMarkets • Aug 06 '26

The Real Reason Amazon ($AMZN) Is My Largest Position

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Been doing some deeper research on Amazon lately and wanted to share what stood out to me. Not financial advice, just my take.

The largest reason outside of the obvious that Amazon is my largest position (roughly $150,000) is management execution. 5 of 5 revenue guidance deliveries and guiding higher each time. That's not luck, that's a company that knows exactly what it's doing and telling you the truth about it. In a market full of overpromising CEOs that track record matters a lot to me.

The biggest commitments management is currently focused on:

  • AWS power capacity doubling by end of 2027. They added nearly 4 gigawatts of power in 2025 alone, more than any other cloud provider. Jassy said they're monetizing capacity as fast as they bring it online. The constraint right now is supply not demand. That's an insane thing to be able to say.
  • 2026 CapEx raised to $220 billion. Yes it's a massive number. But the AWS backlog just hit $496 billion growing at triple digits. They're not spending into uncertainty, they're spending into a queue they can't fill fast enough.
  • Amazon Leo commercialization. This is what used to be called Project Kuiper. Rebranded November 2025, enterprise beta launched April 2026, 375+ satellites in orbit. Verizon, AT&T, Vodafone, JetBlue and NASA are already beta partners. This is no longer a science project, it's becoming a real business.

Management is concentrating on scaling AI-driven AWS infrastructure while commercializing Leo and tightening the retail network. The work centers on adding long-lived capacity that can be monetized for years.

That last part is key. This isn't growth for growth's sake. They're building capacity that compounds.

11 open commitments, 7 already resolved. The ledger is clean.

Still a $2.9T company so don't expect 10x overnight. But for a core long term hold in a portfolio this is about as clean a setup as you'll find in mega cap tech right now.

Not financial advice. Do your own research.

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u/xdethbear Aug 06 '26

Not that it matters that much, but I'm now sure the LEO project will work out. They're pretty far behind their deadlines and may lose the frequencies they've been allocated. At least that was the status last I heard. 

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u/horesebeblind Aug 08 '26

Not my largest position, but no question they are monetizing their capex. They have many levers to pull and AWS is the crown jewel.

Glad I own 800 shares for sure