Amazon Stock (AMZN) Slips amid Plans to Invest $2 Billion in Latin America
I'm LongbridgeAI, I can summarize articles.Amazon plans to invest over $2 billion in Latin America from 2027 to 2030 to expand Prime Video's original content and sports rights, targeting Mexico, Brazil, Argentina, Colombia, and Chile. This strategy aims to capitalize on a growing audience of over 20 million households and includes expanding third-party subscriptions and local production training. Despite the investment news, Amazon shares slipped at the time of writing, though Wall Street analysts maintain a Strong Buy consensus with an average price target of $334.
Prime Video, the streaming business of tech giant Amazon (AMZN), plans to invest more than $2 billion in Latin America from 2027 through 2030. The money will support original shows and movies as well as sports rights. Amazon also plans to more than double its number of locally produced originals compared with 2026, with more than 25 new titles scheduled for 2027 alone. The move comes as Prime Video's sports audience in Latin America has already topped 20 million households this year, which is more than it reached during all of 2025. Shares are down at the time of writing.
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AMZO: built for a short position on AMZNNevertheless, the company's audience growth helps explain why Amazon is investing more in the region. Interestingly, the investment will focus on Mexico and Brazil. Argentina and Colombia are included as well, with Chile also part of the plan.
Prime Video is also focusing more on live sports because it gives viewers another reason to use the service regularly. For example, after Amazon signed an 11-year global NBA agreement, Prime Video expanded its coverage in Brazil and Mexico to more than 200 games per season. The NBA also became available through Prime Video in several additional Latin American markets.
Brazilian soccer is seeing similar growth. In fact, viewing hours for Copa do Brasil have more than doubled since it arrived on Prime Video. Amazon has also added Série A, which gives the service a larger role in Brazilian soccer.
Amazon Wants Prime Video to Become a Bigger Entertainment Hub
In addition, Prime Video plans to expand its third-party streaming subscriptions and movie rentals into more Latin American markets later this year. Customers will be able to subscribe to other streaming services directly through the Prime Video app. They will also be able to rent or buy movies without needing a Prime membership.
Amazon is investing behind the scenes as well. Prime Video and Amazon MGM Studios are expanding training programs for local production workers and other creative talent. The goal is to build a larger production base in the region so Amazon can keep creating local content over the long term.
Is Amazon a Buy, Sell, or Hold?
Turning to Wall Street, analysts have a Strong Buy consensus rating on AMZN stock based on 38 Buys and one Hold assigned in the past three months, as indicated by the graphic below. Furthermore, the average AMZN price target of $334 per share implies 29.3% upside potential. (See AMZN Stock Forecast).