Key Takeaways
- • Pershing Square holds 8.56 million Amazon shares worth over $2 billion, representing 10.5% of Bill Ackman's $19.5 billion portfolio, despite recent trimming as part of a portfolio reallocation.
- • Amazon's capital expenditure is surging to approximately $220 billion annually in 2026, up from $132 billion in 2025, with the majority directed toward data center infrastructure to support AI capabilities.
- • Amazon Web Services (AWS) revenue growth has accelerated to over 30% in 2026, compared to 20% growth in both 2024 and 2025, driven by broad adoption of artificial intelligence globally.
- • Ackman's thesis centers on investor concerns about massive AI infrastructure spending being overblown, positioning Amazon's capex expansion as a rational investment in growth that will benefit AWS and the broader business.
- • Pershing Square's extreme selectivity in stock holdings combined with Ackman's articulation of investment rationale distinguishes the firm's approach to large positions like Amazon.
Summary
Bill Ackman's Pershing Square has established itself as one of the largest institutional bulls on Amazon, maintaining a substantial 8.56 million share position valued at over $2 billion as of June 2026. This stake represents 10.5% of Pershing Square's $19.5 billion equity portfolio. Despite recently trimming the position as part of a broader portfolio reallocation, the continued size of the Amazon holding underscores Ackman's conviction in the company's strategic direction and long-term value creation potential.
The primary driver of Pershing Square's Amazon thesis centers on the company's aggressive capital expenditure program targeting artificial intelligence infrastructure. Amazon has indicated it will increase annual capex to approximately $220 billion in 2026, a significant jump from $132 billion in 2025. Ackman's investment thesis addresses what he views as widespread investor anxiety regarding the magnitude of AI-related capital spending across the technology sector. In Pershing Square's second-quarter shareholder letter, Ackman articulated his perspective that the market may be overestimating the risks associated with these expenditures while underestimating their returns.
The capex expansion is predominantly directed toward data center build-outs designed to power Amazon Web Services (AWS), the company's cloud computing division and primary growth engine. AWS has demonstrated accelerating revenue momentum, with year-over-year growth reaching over 30% in the first half of 2026, compared to 20% growth rates in both 2024 and 2025. This acceleration reflects the broad organizational adoption of artificial intelligence worldwide, positioning AWS to benefit substantially from enterprise demand for AI-capable cloud infrastructure.
Pershing Square's investment approach is characterized by extreme selectivity in its holdings and Ackman's distinctive capacity to articulate detailed investment rationales to shareholders. The Amazon position reflects this philosophy: rather than viewing Amazon's substantial capex commitments as a drag on near-term profitability, Ackman frames them as rational capital deployment supporting a high-growth business segment positioned to capture significant market share in the expanding AI infrastructure market. This long-term value creation framework remains the foundation of Pershing Square's continued conviction in Amazon despite the capital intensity of the company's current strategy.
The primary driver of Pershing Square's Amazon thesis centers on the company's aggressive capital expenditure program targeting artificial intelligence infrastructure. Amazon has indicated it will increase annual capex to approximately $220 billion in 2026, a significant jump from $132 billion in 2025. Ackman's investment thesis addresses what he views as widespread investor anxiety regarding the magnitude of AI-related capital spending across the technology sector. In Pershing Square's second-quarter shareholder letter, Ackman articulated his perspective that the market may be overestimating the risks associated with these expenditures while underestimating their returns.
The capex expansion is predominantly directed toward data center build-outs designed to power Amazon Web Services (AWS), the company's cloud computing division and primary growth engine. AWS has demonstrated accelerating revenue momentum, with year-over-year growth reaching over 30% in the first half of 2026, compared to 20% growth rates in both 2024 and 2025. This acceleration reflects the broad organizational adoption of artificial intelligence worldwide, positioning AWS to benefit substantially from enterprise demand for AI-capable cloud infrastructure.
Pershing Square's investment approach is characterized by extreme selectivity in its holdings and Ackman's distinctive capacity to articulate detailed investment rationales to shareholders. The Amazon position reflects this philosophy: rather than viewing Amazon's substantial capex commitments as a drag on near-term profitability, Ackman frames them as rational capital deployment supporting a high-growth business segment positioned to capture significant market share in the expanding AI infrastructure market. This long-term value creation framework remains the foundation of Pershing Square's continued conviction in Amazon despite the capital intensity of the company's current strategy.
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