Jim Cramer weighed in on Amazon.com Inc. (NASDAQ:AMZN) Wednesday morning before markets opened, posting on X: “Amazon is difficult to own because it has diminished free cash flow from debt… I say stay in it but i know it went from cheap to expensive for a lot of people after that last q…”
CNBC’s “Mad Money” host Cramer’s note comes as Amazon’s free cash flow has been on a steep decline through 2025 and into early 2026, driven largely by a surge in capital spending tied to artificial intelligence infrastructure and cloud expansion.
Amazon is difficult to own because it has diminished free cash flow from debt… I say stay in it but i know it went from cheap to expensive for a lot of people after that last q…
Don’t Miss:
Period | Free Cash Flow (TTM) | Year-Ago Comparison |
|---|---|---|
Q1 2025 | $25.9B | $50.1B |
Q2 2025 | $18.2B | $53.0B |
Q3 2025 | $14.8B | $47.7B |
Q4 2025 | $11.2B | $38.2B |
Data Source: Quarterly Results
The cash flow contraction reflects Amazon’s decision to spend on AI infrastructure. The Seattle-based company plans to ramp capital expenditures to approximately $200 billion in 2026, a $70 billion increase year-over-year.
Trending: It’s no wonder Jeff Bezos holds over $250 million in art — this alternative asset has outpaced the S&P 500 since 1995, delivering an average annual return of 11.4%. Here’s how everyday investors are getting started.
The commentary marks a shift in Cramer’s stance. On Feb. 6, he said “the Mag 7 is no more,” though he vowed to defend Amazon during a selloff that saw shares trade near $197. While he continues to advocate for staying in Amazon, he recently labeled Alphabet Inc (NASDAQ:GOOGL) as “the prize” among the mega-cap tech cohort due to its own aggressive AI infrastructure plays.
Below is the Benzinga Edge scorecard for Amazon.Com, highlighting its strengths and weaknesses compared to the broader market:
Value: Weak (Score: 58.94) — The stock is trading at a premium relative to its peers.
Quality: Strong (Score: 71.7) — Demonstrates robust financial health and profitability.
Momentum: Weak (Score: 14.69) — Stock is underperforming the broader market.
Read Next:
