Should You Buy Jim Cramer and Ken Fisher’s Top AI Stock Pick Ahead of Earnings?

Amazon.com, Inc. (NASDAQ:AMZN) rose recently after Morgan Stanley named it a top pick and raised its price target to $350 from $335, and the stock now heads into its third-quarter report on October 29. It ranks fourth on our list of the top 10 stocks Jim Cramer and billionaire Ken Fisher like. The question for earnings is whether AWS can grow fast enough to cover a spending plan that has pushed free cash flow below zero. Let’s analyze.

AWS Is Growing Fast and the Backlog Is Growing Faster

AWS revenue rose 37% in the second quarter, well above the 31% analysts expected and the unit’s fastest growth since 2021. The AWS backlog is growing at triple-digit rates, so customers have already signed for a large part of the growth ahead. Amazon’s chip business and AI business are also growing at triple-digit rates. Management said Amazon will not have enough capacity to meet demand in 2026, and expects the same in 2027. The demand Amazon already has for 2028 is…