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00:02BNP Paribus analyst Nick Jones said concerns about Amazon's AI spending are overdone
00:07and called the investment necessary given demand and future opportunity.
00:11MarketWatch reported,
00:12He pointed to accelerating backlog growth and said hyperscalers are building data centers
00:17in line with contracted demand.
00:19Jones advised focusing on the backlog to capex ratio and said strong backlog allows
00:23Amazon to convert capacity into revenue.
00:26Revenue per employee rose from $319,600 in FY2022 to nearly $435,000 in FY2025.
00:35The firm maintained an outperform rating and projected 50% upside.
00:39Amazon plans to spend $200 billion in capex by 2026,
00:43with most directed to AWS and AI infrastructure.
00:46For all things money, visit Benzinga.com.
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