Amazon (NASDAQ:AMZN) stock moved in pre-market trading Wednesday morning after the company announced it will cut 16,000 jobs globally. This marks the company’s second major layoff round in three months, bringing total planned corporate reductions to approximately 30,000 roles.

The cuts come as Amazon aggressively expands its artificial intelligence infrastructure while shuttering underperforming retail experiments. The company is closing its Amazon Go convenience stores and Amazon Fresh grocery brand after they failed to achieve what executives called “a truly distinctive customer experience with the right economic model.” Some locations will convert to Whole Foods Market.

This restructuring follows Amazon’s strong quarterly performance. Q3 2025 revenue hit $180.17 billion (up 13.4% year-over-year) with net income at $21.19 billion. The company maintains significant capital investments in AI infrastructure.

Analysts remain bullish on the stock. Of the analysts covering Amazon, 16 rate it Strong Buy and 49 rate it Buy, with 3 Hold ratings. The consensus price target stands at $295.90. The forward P/E ratio is 29.41, suggesting expectations for continued earnings growth.

For investors, Amazon is balancing operational efficiency with growth investments. The company maintains an 11.1% operating margin and 24.3% return on equity while repositioning for an AI-focused future. The stock trades with a market cap of $2.62 trillion within its 52-week range of $161.38 to $258.60.