Amazon shares jumped on Monday as investors responded to the company’s strong cloud performance. This pushed the stock close to a new record and lifted Amazon’s market value past an important milestone.
The stock rose 5.3%, setting it up for a new all-time closing high. Amazon was the top performer in the Dow Jones Industrial Average, which also saw solid gains on Monday.
Amazon reached a $3 trillion market value for the first time, making it the fifth company to hit this mark after Apple, Microsoft, Nvidia, and Alphabet. The company first passed $1 trillion in February 2020 and $2 trillion in June 2024.
The stock rally came after Amazon reported better-than-expected second-quarter results last week. Investors were especially encouraged by Amazon Web Services, which grew 37% year over year, beating analysts’ expectations of 31% growth.
AWS, Amazon’s cloud computing and AI infrastructure business, is still a key reason investors buy the stock. Strong growth in this area shows there is real demand for AI infrastructure, supporting the company’s large investments to meet that need.
Morningstar reported that AWS growth sped up to its fastest rate in 18 quarters, which is impressive given the size of the business. The company also noted that strong demand for both traditional and AI workloads supports Amazon’s aggressive investment plans.
Amazon will need to keep showing strong cloud results to maintain investor interest, especially as its AI spending puts pressure on cash reserves. The company increased its 2026 capital spending forecast to $220 billion from $200 billion, while its trailing 12-month free cash flow was negative $7.6 billion.
