Amazon: Is Globalstar the Key Catalyst for Stock Growth?
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 09 2026
0mins
Should l Buy AMZN?
Source: Marketbeat
Amazon's Stock Performance: Amazon's shares have stagnated around $220, showing no growth over the past year, while the S&P 500 index has increased by over 10%. This lack of momentum is attributed to rising capital expenditures related to its AI ambitions.
Potential Acquisition of Globalstar: Amazon is reportedly in talks to acquire satellite communications company Globalstar for approximately $9 billion, which could signal a bold move to enhance its capabilities in the satellite internet space.
Strategic Importance of Acquisition: Acquiring Globalstar could provide Amazon with immediate access to existing satellite infrastructure, helping it to compete more effectively in the growing market for satellite internet services, particularly against competitors like SpaceX.
Investor Sentiment and Future Outlook: The market's initial reaction to the potential acquisition has been cautious, with Amazon's stock experiencing a decline. However, if the acquisition is executed successfully and aligns with a clear strategic vision, it could positively influence investor sentiment and the stock's performance in the long term.
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Analyst Views on AMZN
Wall Street analysts forecast AMZN stock price to rise
44 Analyst Rating
41 Buy
3 Hold
0 Sell
Strong Buy
Current: 268.260
Low
175.00
Averages
280.01
High
325.00
Current: 268.260
Low
175.00
Averages
280.01
High
325.00
About AMZN
Amazon.com, Inc. provides a range of products and services to customers. The products offered through its stores include merchandise and content it has purchased for resale and products offered by third-party sellers. The Company’s segments include North America, International and Amazon Web Services (AWS). It serves consumers through its online and physical stores and focuses on selection, price, and convenience. Customers access its offerings through its websites, mobile apps, Alexa, devices, streaming, and physically visiting its stores. It also manufactures and sells electronic devices, including Kindle, Fire tablet, Fire TV, Echo, Ring, Blink, and eero, and develops and produces media content. It serves developers and enterprises of all sizes, including start-ups, government agencies, and academic institutions, through AWS, which offers a set of on-demand technology services, including compute, storage, database, analytics, and machine learning, and other services.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Technological Innovation and Partnerships: Amazon has deepened its partnership with Netflix and expanded local advertising collaboration with Comcast Advertising, while also launching interactive video ads and the AI creative assistant CreativeAgent, which enhances ad effectiveness and user engagement.
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- Strategic Partnership Expansion: Amazon deepened its partnership with Netflix through the Amazon Audiences feature, allowing advertisers to leverage proprietary signals from Amazon's shopping and streaming platforms, thereby broadening the reach and effectiveness of its advertising platform.
- AI Tool Innovations: The introduction of AI tools like CreativeAgent, which assists brands in planning ad creatives, and the expansion of Rufus, its shopping assistant, which saw monthly active users increase by over 115%, demonstrates how AI-driven shopping experiences are providing new growth momentum for the advertising business.
See More
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- Capital Expenditure Plans: Amazon plans to invest $200 billion in capital expenditures in 2023, primarily focused on AI infrastructure; this announcement initially caused a stock price drop, but shares recovered within two months and reached a new record high.
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