Amazon (AMZN.O) reported stronger-than-expected growth in its cloud business on Wednesday, fueled by robust enterprise spending as companies ramp up investment in artificial intelligence initiatives
Shares up 1.62% at $267.31 premarket
<h3>CLOUDS THE COMPETITION</h3>
Pivotal Research Group (“buy,” PT: $320) says the cloud business retains a long growth runway as more companies migrate online, supported by AI services, Amazon’s in-house chips, specialized AI agents, and AWS broadening its offerings at the expense of traditional software providers
Morningstar (fair value: $280) says AWS’ slower growth due to its scale is not a concern, as it sees room for multiple winners in public cloud and generative AI and expects AWS to retain leadership for years on the strength of its broad portfolio
Matt Britzman, senior equity analyst at Hargreaves Lansdown, says AMZN’s AI story outside its cloud business still lacks shine, but that could be the opportunity, with its vast e-commerce platform able to gain from areas like agent-led shopping and behind-the-scenes robotics even as the market waits for a standout moment
D.A. Davidson (“neutral,” PT: $250) says “exposure to both leading labs and the growing scale of the chip business positions AMZN to benefit from the ongoing race to secure scarce compute resources”

The earnings reports of the four tech giants are all out, and all exceeded expectations! Google Cloud revenue grew 63% year-over-year, driving its stock price up 7% in after-hours trading; Amazon AWS's growth rate hit a near three-year high; Microsoft's stock price fell; Meta was hammered by over 6% due to another increase in capital expenditures. Apple, the final company to report, exceeded expectations and increased its share buyback program. How were your bets this earnings week? Share your results!

The earnings reports of the four tech giants are all out, and all exceeded expectations! Google Cloud revenue grew 63% year-over-year, driving its stock price up 7% in after-hours trading; Amazon AWS's growth rate hit a near three-year high; Microsoft's stock price fell; Meta was hammered by over 6% due to another increase in capital expenditures. Apple, the final company to report, exceeded expectations and increased its share buyback program. How were your bets this earnings week? Share your results!

Super Earnings Week Wraps Up — Apple Beats Expectations!

AMZN

AMZU

AMZD

CLOU

- Amazon reported stronger-than-expected growth in its cloud business, driven by increased enterprise spending on artificial intelligence initiatives.  
- Pivotal Research Group maintains a "buy" rating, citing a long growth runway as more companies migrate online, while Morningstar expects AWS to remain a leader in public cloud despite slower growth.  
- Analysts suggest opportunities for Amazon's AI initiatives outside cloud services, particularly through its e-commerce platform, as it positions itself to benefit from the demand for computing resources.

BUZZ-Street View: Amazon builds the cloud future, chip by chip