Amazon Files For Mixed Shelf Offering To Support Future Capital Needs

• In its filing, Amazon outlined that it may raise funds through a range of securities, including debt, equity, and hybrid securities.
• Amazon has guided capital expenditures of around $200 billion for 2026.
• Morgan Stanley highlighted the company’s potential as an “under-appreciated GenAI winner.”

Amazon.com Inc. (AMZN) on Friday filed a new shelf registration statement with the U.S. Securities and Exchange Commission (SEC) that outlines the range of financial instruments it may offer to the public, including debt, equity, and hybrid securities to raise funds.

However, the retail giant didn’t specify the size of any offering. Amazon stock traded over 8% lower in Friday’s premarket. 

Amazon’s Capital Expenditure Plan 

The tech giant has guided capital expenditure of around $200 billion for 2026. 

“With such strong demand for our existing offerings and seminal opportunities like AI, chips, robotics, and low-earth-orbit satellites, we expect to invest about $200 billion in capital expenditures across Amazon in 2026, and anticipate strong long-term return on invested capital,” Andy Jassy, President and CEO of Amazon, said in the fourth-quarter earnings report.

Jassy explained that the capital expenditures would predominantly be in Amazon Web Services (AWS). AWS revenue in the fourth quarter (Q4) increased 24% year-on-year (YoY) to $35.58 billion. 

On Stocktwits, retail sentiment around the stock changed to ‘extremely bullish’ from ‘bullish’ territory the previous day. Message volume improved to ‘extremely high’ from ‘high’ levels in 24 hours. 

What Is the Street Saying?

Morgan Stanley analyst Brian Nowak lowered the price target for Amazon shares to $300 from $315, but maintained an ‘Overweight’ rating, citing strong growth at Amazon Web Services (AWS) and improving efficiency in its Retail operations, according to The Fly. 

According to Nowak, Amazon’s consistent return on invested capital makes it a compelling long-term opportunity. The analyst highlighted the company’s potential as an “under-appreciated GenAI winner,” reflecting confidence in Amazon’s strategic positioning despite recent spending increases.

Meanwhile, KeyBanc analyst Justin Patterson trimmed his price target from $308 to $285, keeping an ‘Overweight’ rating. The firm noted that Amazon’s Q4 results laid bare the effect of heavy capital expenditures to support anticipated AI workloads. This investment temporarily depresses free cash flow and earnings per share, though the firm still values long-term growth potential.

AMZN stock has declined by over 6% in the last 12 months. 

Also See: Why Did Roivant Sciences Stock Gain 9% Pre-Market Today?

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