New York, January 26, 2026, 10:11 EST — Regular session
- Amazon shares fell in early trading, underperforming the broader market’s gains
- AWS announced it has reached a new deal with UK lender Nationwide Building Society
- Investors are focused on Amazon’s upcoming earnings report and guidance set for Feb. 5
Amazon.com shares dipped slightly on Monday, falling roughly 0.2% to $238.78 after an initial uptick lost momentum. The stock underperformed broader markets, as the S&P 500 tracking fund SPY climbed around 0.5% and the Nasdaq-100 tracker QQQ rose about 0.4%.
This week, the stock is caught up in investors’ search for clear signs of cloud demand and corporate tech budgets. A new AWS customer win and a broker’s rating update added fuel, though neither move alone changes the broader outlook.
Amazon will release its fourth-quarter and full-year earnings on February 5, with a conference call set for 5 p.m. ET, according to a company notice. Investors are watching this date closely as a critical update on AWS growth and Amazon’s planned investments in AI and cloud expansion.
AWS announced Monday it has inked a new deal with Nationwide Building Society to broaden its use of cloud-based customer service tools, including Amazon Connect, the contact-centre platform deployed across call centres and branches. Nationwide’s group COO, Suresh Viswanathan, emphasized the lender’s focus on cloud technology that delivers “better customer experiences” while prioritizing “safety and security.” Alison Kay, head of AWS UK and Ireland, added that migrating workloads to AWS can “accelerate innovation” and boost resilience. MarketScreener
Phillip Securities cut Amazon’s rating to “accumulate” from “buy” but lifted its price target to $290 from $260, according to MarketScreener. The “accumulate” tag usually means investors should add shares slowly rather than jump in all at once. MarketScreener
The stock’s intraday swings were modest — Amazon kicked off near $240 and stayed within a tight range from about $237.6 to $240.8 — yet investors have been quick to shuffle money among mega-cap tech stocks at the slightest sign of shifts in cloud demand. Amazon stands out in this group, with AWS playing a key role in driving its profits.
The Nationwide deal highlighted Amazon’s push to market AI features as practical tools for customer operations, rather than just experimental big-model research. Connect stands out as one of the more tangible products in this lineup, positioned near enterprise budgets that often face cuts during economic downturns.
That said, a risk looms for the stock. If AWS growth slows or rising expenses squeeze margins, Amazon could take a hit when earnings drop. Meanwhile, cost-cutting measures risk causing disruption of their own.
Amazon is bracing for fresh headline risk after Reuters reported last week that a second wave of corporate layoffs might kick off as soon as Tuesday. CEO Andy Jassy has described the move as a push to trim bureaucracy.
Traders are zeroing in on two key triggers this week: updates on workforce decisions early on, and Amazon’s results and guidance set for February 5. Those details will be crucial for gauging AWS momentum and spending forecasts through 2026.
