Cramer Defends Amazon After Redburn Downgrade, Calling Pullback a Buying Opportunity

Overview

• Rothschild & Co Redburn cut Amazon to Neutral on November 18 with a $250 price target, warning that generative‑AI workloads could dilute AWS returns.
• Redburn argued AWS now faces challenges similar to Microsoft’s, with GPU‑heavy economics limiting upside even as the business reaccelerates.
• Jim Cramer countered that he trusts Amazon’s management and views the recent slide as a chance to buy gradually on weakness.
• Cramer pointed to a newly launched bond deal as the catalyst for heavier AI infrastructure spending after a period of caution.
• He acknowledged previously amplifying concerns about AWS’s Trainium strategy and NVIDIA spending but now highlights a strong quarter and improving AWS growth.