According to Visible Alpha consensus, Amazon's total revenues expected for Q2 remained stable at $162.2 billion, driven by continued resilience in Amazon's online retail and AWS businesses. The tariff issues continue to present challenges to the outlook. AWS margin came in at 39% last quarter, and for Q2, it is expected to drop down to 35% quarter-over-quarter.
A report in The Wall Street Journal (WSJ) last week found that prices on Amazon's low-cost essentials had risen since President Trump announced his plans for massive tariffs on international goods. Amazon responded with a lengthy blog post in response to the article, which describes the WSJ's reporting as “fundamentally flawed.
AMZN's AWS growth, AI innovations and e-commerce momentum position strong Q2 2025. Diversified revenue streams support buying ahead of earnings.
Amazon.com, Inc. is attractively valued, but I rate it Market Perform/Hold due to mixed signals in fundamentals and technicals ahead of Q2 earnings. Commerce growth is decelerating and I expect some volume gains to be offset by falling average selling prices. We should not trust the bullish headlines on Amazon Prime Day's performance. AWS margin improvements (likely from AI-driven headcount efficiencies) are a positive, but capex upgrades may lead to FCF margin erosion risk. We must seek clarity on proof of ROI.
An updated edition of the June 05, 2025 article. Fueled by widespread adoption, cloud computing has generated a significant buzz across the length and breadth of the business enterprise ecosystem.
Jeff Bezos sold an eye-popping $5.7 billion worth of Amazon stock since tying the knot with Lauren Sánchez last month, according to government filings. The sales began when Bezos disposed of $737 million around his weekend nuptials in Venice on June 27.
Shares of Amazon.com Inc. (NASDAQ:AMZN) gained 2.49% over the past five trading sessions, bringing the e-commerce and cloud storage solutions stock's year-to-date gain to 5.09%.
"This bull market has a lot of legs," says Eddie Ghabour. He points to many retail and institutional investors sitting on the sidelines waiting to deploy cash — which will ramp markets higher once they do.
Jeff Bezos had to pay for his wedding to Lauren Sanchez which cost as much as $50 million.
For the better part of the last decade, growth stocks have been the hot topic in the market. Investors have seen valuations skyrocket, new industries hit the mainstream, and shareholders making a lot of money along the way.
I disagree with the strong bullish sentiment surrounding Amazon stock from both Wall Street and retail investors. Rising CAPEX among AI rivals is intensifying the arms race, likely forcing Amazon to further increase its own capital expenditures in FQ2 and forward. Amazon's free cash flow already lags behind rivals like Google and Microsoft, raising concerns about its capital allocation flexibility.
CRWV sinks 24% despite AI tailwinds, while AMZN rides AWS momentum with soaring revenues and expanding AI offerings.