Investing.com -- Barclays believes Amazon shares can continue to outperform other mega-cap technology stocks, citing the recent disclosures from the company’s shareholder letter that strengthen the long-term bullish case for Amazon Web Services.

Barclays wrote that the latest metrics “give us additional confidence around AWS upside from AI over coming years,” adding that “the AI story has come a long way since mid-’25.”

The bank said Amazon remains “one of the more highly debated stocks” in its coverage universe, particularly around its competitive position in artificial intelligence, but the new data points “support the bull thesis.”

One of the more notable disclosures is that AWS has reached a $15 billion annualized revenue run rate for AI services.

Barclays highlighted Amazon’s remark that “three years into this AI wave, AWS’s AI revenue run rate is over $15 billion in Q1 2026… and ascending rapidly.”

Barclays also pointed to AWS’s plan to add more than 1 million Nvidia GPUs across 2026 and 2027, which the firm said could theoretically translate into roughly $100 billion in annual AWS revenue once fully deployed.

New details about AWS’s custom chip business also bolstered sentiment. Amazon disclosed its chips unit now has a $20 billion run rate, doubling in just three months. Barclays noted that if sold externally, that business “would be ~$50 billion.”

The firm added that Amazon’s grocery segment surpassed $150 billion in U.S. gross sales in 2025, making it the country’s second-largest grocer.