Amazon shares fall 1.17% as investors weigh AI competition and infrastructure spending

  • Amazon is considering expanding its Sub Same-Day network to more than 1,000 facilities by 2031.
  • $246.75: Amazon shares were down 1.17% at publication Monday, Benzinga Pro data showed.
  • Amazon raised minimum full-time U.S. operations pay by $1 to $20 hourly two weeks ago.

Amazon.com Inc. shares traded lower Monday as investors assessed macroeconomic pressure, competition in artificial intelligence and the company’s infrastructure spending. The company is considering Project Mercury, an expansion that would increase its Sub Same-Day network from 85 facilities today to more than 1,000 by 2031. Bank of America Securities analyst Justin Post reiterated a Buy rating and a $320 price forecast earlier in September, saying the plan could bring same-day delivery within 10 miles of 80% of U.S. Prime members. Amazon estimates that $6.8 billion of investment over three years could create $7.1 billion in economic value over 10 years and produce positive cash flow by 2030. Amazon also raised minimum starting pay for full-time U.S. operations employees to $20 an hour, while ARK Invest questioned the company’s approach to agent-driven commerce (shopping handled by autonomous software). Amazon.com shares were down 1.17% at $246.75 at publication, according to Benzinga Pro data.

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Amazon shares fall 1.17% as investors weigh AI competition and infrastructure spending - CoinPost Terminal