The Motley Fool·23h ago
Amazon's CEO Andy Jassy Just Announced Huge News for Amazon InvestorsAmazon Web Services looks poised to lead Amazon's stock to new heights. AWS should grow massively in the next few years due to surging AI demand.
Amazon's quarterly revenue grew from $148.0B in Q2 2024 to $201.9B in Q3 2026, and gross margin expanded from 47.3% to 53.2% over the same stretch, suggesting a higher-value revenue mix is building.
Price trend, volume and key moving averages
Start with the evidence for owning the stock and the risks that can break the thesis.
Revenue climbed from $148.0B to $201.9B over ten quarters while operating margin rose from 9.9% to 13.9%, though quarterly net margin swings from 9.9% to 31.2% indicate earnings quality that warrants further investigation.
AWS is expected to sustain high-20% growth through 2026, driven by investments in AI infrastructure and custom chips.
Amazon's cloud backlog reached $364 billion in Q1 2026, excluding a significant deal with Anthropic.
Amazon's advertising business is projected to reach nearly $70 billion annually, leveraging consumer behavior insights.
Amazon plans to allocate $200 billion for capex in 2026, primarily for AI infrastructure, compressing free cash flow.
Uncertainty surrounds new initiatives like Project Leo, which may increase costs without guaranteed returns.
Potential tariff impacts could negatively affect retail margins, adding to operational risks.
Trailing total returns as of 11/7/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).
Check whether operating performance supports the current valuation.
Recent results and news deserve attention only when they alter the forward view.
| Quarter | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|
Q4 2026Latest Oct 29, 2026 | $1.89-4.1% vs $1.97 | $201.9B-0.1% vs $202.2B |
Q3 2026 Jul 30, 2026 | $5.75+215.9% vs $1.82 | $200.6B+1.8% vs $197.0B |
Q2 2026 Apr 29, 2026 | $2.78+70.6% vs $1.63 | $181.5B+2.4% vs $177.3B |
Q1 2026 Feb 5, 2026 | $1.95-1.0% vs $1.97 | $213.4B+0.9% vs $211.5B |
Amazon Web Services looks poised to lead Amazon's stock to new heights. AWS should grow massively in the next few years due to surging AI demand.
Some companies will perform pretty well regardless of whether or not interest rates rise.
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Amazon just posted its highest operating margin ever, yet the stock tanked in premarket trading. The reason comes down to one number buried in the cash flow statement that has investors questioning whether the growth story holds up.
Benchmark AMZN against direct peers instead of judging its metrics in isolation.
Key metrics vs top competitors for Amazon.com, Inc. (AMZN)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $259.30 | $2.79T | 36.16 | 12.38% | 10.83% | 22.29% | — | |
| $530.61 | $3.94T | 29.56 | 17.79% | 41.17% | 33.21% | 0.67% | |
| $284.78 | $3.45T | 26.34 | 15.13% | 50.03% | 42.62% | 0.29% | |
| $610.15 | $1.55T | 25.97 | 22.17% | 31.15% | 30.27% | 0.34% | |
| $342.37 | $5.03T | 45.89 | 6.43% | 27.6% | 127.61% | 0.3% | |
| $125.47 | $1T | 45.96 | 4.73% | 3.04% | 21.64% | 0.75% |
Amazon.com, Inc. (AMZN) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
Verify the primary filings, follow material updates, and answer the remaining questions.
Amazon.com, Inc. (AMZN) SEC filings — annual & quarterly reports (10-K, 10-Q)
Oct 29, 2026·SEC
Jul 30, 2026·SEC
Jul 9, 2026·SEC
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Amazon.com, Inc. (AMZN) stock FAQ — growth, dividends, profitability & financials explained
Amazon.com, Inc. (AMZN) reported $797.46B in revenue over the trailing twelve months. Revenue was $716.92B in fiscal year 2025. That is 4552955% more than the $15.7M of fiscal year 1996.
Amazon.com, Inc. (AMZN) grew revenue by 12.4% in fiscal year 2025, compared with the prior fiscal year.
Yes. Amazon.com, Inc. (AMZN) earned $134.78B in net income over the trailing twelve months (a 16.9% net margin).
Amazon.com, Inc. (AMZN) had a return on equity (ROE) of 22.3% in fiscal year 2025. That is well above the market's typical 10-15%.
Amazon.com, Inc. (AMZN) had negative free cash flow of $46.89B over the trailing twelve months.
