Amazon.com Inc (NASDAQ:AMZN) reported a fourth-quarter earnings miss after yesterday's close and predicted $200 billion in capital expenditures for 2026 -- an over 50% increase from last year -- amid plans to "aggressively invest" in AI. In response, D.A. Davidson downgraded shares to "neutral" from "buy," while no fewer than 15 firms slashed their price objectives.
AMZN is down 9.1% to trade at $202.51, and earlier gapped to its lowest level since May. The equity is eyeing its fourth-straight loss, with its most recent rally losing steam around familiar pressure at the $250 region, and is pacing for its worst single-day percentage loss since August. So far in 2026, shares have already shed 12.1%.
Options volume is today running at five times the intraday average amount, with 822,000 calls and 399,000 puts exchanged so far. The most active contract is the expiring weekly 2/6 210-strike call, followed by the 200-strike put in the same series, with new positions being opened at both.
At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), AMZN's 50-day call/put volume ratio of 3.27 ranks higher than 95% of readings from the last year, meaning options traders have been much more bullish than usual.
