June 9 – Amazon (NASDAQ:AMZN) shares ticked up more than 1% on Monday, after the company said it will invest at least $20 billion in Pennsylvania to boost its data center infrastructure.

• Warning! GuruFocus has detected 2 Warning Sign with AMZN.

The investment underscores Big Tech’s push to support surging generative AI demand. It comes less than a week after Amazon revealed a $10 billion commitment to North Carolina and plans for over $5 billion in new cloud infrastructure in Taiwan.

Amazon said the Pennsylvania project will create 1,250 high-skilled jobs and support thousands more across the Amazon Web Services data center supply chain. Salem Township and Falls Township were identified as the first sites for future campuses.

In the first quarter, Amazon’s capital expenditures reached roughly $25 billion, and the company expects to maintain that level of spending for the remainder of 2025. Amazon did not immediately clarify if this $20 billion is part of those existing plans or provide a specific timeline for completion.

Based on the one year price targets offered by 67 analysts, the average target price for Amazon.com Inc is $240.81 with a high estimate of $305.00 and a low estimate of $195.00. The average target implies a upside of +11.55% from the current price of $215.88.

Based on GuruFocus estimates, the estimated GF Value for Amazon.com Inc in one year is $187.83, suggesting a downside of -12.99% from the current price of $215.88.

This article first appeared on GuruFocus.