On the back of strong confidence from hedge funds and Wall Street, Amazon.com, Inc. (NASDAQ:AMZN) is one of the best AI infrastructure stocks, with upside potential of 16.4%.

Amazon.com, Inc. (NASDAQ:AMZN)’s cloud business has already served as the backbone of the AI buildout. Yet a ten-year, $100 billion commitment from Anthropic indicates that growth is only set to accelerate from here.

On May 29, 2026, Truist raised its price target on Amazon.com, Inc. (NASDAQ:AMZN) to $320 from $310, keeping a “Buy” rating. The firm lifted its AWS revenue estimates for fiscal 2027 and beyond to better reflect the potential flow-through from the company’s recently announced $100 billion partnerships with both Anthropic and OpenAI and the corresponding recognition in revenues from backlog. The analyst contended that consensus is underestimating both fiscal 2027 capex and revenue growth.

The Anthropic partnership is a major driver of that outlook.

Anthropic is committed to spending more than $100 billion over the next ten years on AWS technologies, encompassing current and future generations of Amazon.com, Inc. (NASDAQ:AMZN)’s Trainium custom silicon and tens of millions of Graviton CPU cores. Anthropic will secure up to 5 gigawatts of capacity to train and power its AI models, including significant Trainium3 capacity expected to come online this year. The collaboration also includes expanded international inference in Asia and Europe to serve Claude’s growing customer base.

Amazon.com, Inc. (NASDAQ:AMZN) will also invest $5 billion in Anthropic, with up to an additional $20 billion tied to certain commercial milestones, on top of the $8 billion previously invested. According to management, more than 100,000 customers currently run Anthropic’s Claude models on AWS, making Claude one of the most widely used model families on Amazon Bedrock.

Amazon.com, Inc. (NASDAQ:AMZN) operates across e-commerce, digital content, advertising, and cloud computing. Its online and offline stores offer both in-house and third-party products, while its Amazon Web Services (AWS) division runs one of the world’s largest data center networks.

While we acknowledge the potential of AMZN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years. Disclosure: None. Follow Insider Monkey on Google News.