Amazon vs. Target: One Is Riding the AI Boom, While the Other Faces a Consumer Spending Squeeze

Amazon and Target show diverging growth trajectories. Amazon maintains double-digit revenue growth fueled by e-commerce, AWS cloud computing (up 39%), advertising, and AI infrastructure demand, reaching $201.9B in Q3 2026 revenue. Target struggles with weaker discretionary consumer spending, showing modest 5.3% sales growth and flat revenue trends, though recent stabilization and digital growth offer some encouragement. Amazon's diversified business model positions it as a more attractive investment than Target's uncertain retail turnaround.