Amazon Revenue Update: Q2 Results AWS provides AI latest updates

Justin Post, a research analyst at Bank of America, believes Amazon's margin cloud computing business will become a key driver for the future.

The mail is looking for signs of an increase in AWS capacity, which will lead to further increases in AWS revenue later this year. Last quarter, Amazon said AWS growth was curtailed A lack of tips Energy constraints in data centers.

We are also looking forward to Amazon's partnerships Humanity To make a significant contribution to AWS business as AI startups run training models on Amazon's infrastructure.

Bofa recently raised its price target from $248 to $265. This is the opposite of 14% from the current level.

Amazon's Prime Day sales event took place in July after the end of the second quarter, so the company may not be able to elaborate on the event's financial performance.

This year's sale lasted for four days and became the longest version of the event on Amazon. Plus, as consumers continue to worry about tariffs, it could focus on the deal and have Jussy and others talk a bit about how Prime Day this year has turned out.

Brent Thill, senior technology research analyst at Jefferies, said the impact of tariffs and price increases have little effect on them. Consumer demand is resilient, and inventory levels remain stable in the second half of the year.

“While tariffs seem to be exaggerated for now, Amazon remains a destination for online trading and continues to attract strong consumer and brand engagement,” Thill wrote in a recent note.

Thill believes AWS is emerging as a preferred platform for complex AI workloads. In other words, enterprise customers are increasingly turning to Amazon as they try to integrate AI into their business models.

Jefferies maintains a “buy” rating, with its price target of $265, meaning a rise of around 14%.

As many other companies have done, Amazon's latest plans that could address tariffs and raise prices could be a key theme in revenue calls.

Some Amazon customers loaded earlier this year on items that could hit President Donald Trump's tariffs, CEO Andy Jussey said in May. He said Amazon's product selection and ability to source from Chinese sellers are superior to other retailers, particularly when it comes to offering low prices.

Jassy also said it is not clear exactly how involvement will affect the price of products sold on Amazon. The company's guidance for the second quarter was below what analysts wanted as Amazon waited to see what would happen with tariffs.

Three months later, the eve of another trade negotiation deadline, investors listen to the update.

Amazon has become one of the seven most underrated and epic companies, said UBS analyst Stephen Ju.

The stock valuation was revised deep downwards earlier this year with high tariff volatility, but is ready for a comeback as trade deals solidifies.

“We believe that Amazon is the 'most coiled' of our coverage given the broader investments across e-commerce, AWS, content/advertising, and Cuipers,” writes Ju.

UBS expects AI spending to continue to increase. Ju is increasing Amazon's 2025 CAPEX forecast from $107 billion to $112 billion, citing improved cloud infrastructure sentiment.

The bank has repeatedly rated its “buy” price targets, increasing its price target from $249 to $271.

Second quarter

• Net sales estimate is $1621.5 billion
• EPS estimates $1.33
• Online store net sales estimate is $59130 million
• The physics store's net sales are $5.49 billion
• Third Party Seller Services Net Sales are $389.7 billion
• Subscription Services Net sales are $119.2 billion
• AWS Net Sales Estimated at $30.77 billion
• North American net sales estimates of $973.6 billion
• International net sales estimates of $342.1 billion
• Third Party Seller Services Excluding F/X Quotations Net Sales
  +7.49%
• Subscription Services Net Sales excluding f/x +9.68%
• Net sales excluding Amazon Web Services f/x +17%
• Operating profit is estimated at $16.97 billion
• Operation margin estimated at 10.4%
• Operating profit ratio in North America +5.78%
• International operating margin estimate 1.87%
• Fitting costs are estimated at $25.74 billion
• Seller Unit Mix Estimated 61.5%

Third Quarter

• Net sales estimate is $17.325 billion
• Operating profit is estimated at $19.4 billion
• Capital expenditures are estimated at $264.4 billion

  Year-round

• Capital expenditures are estimated at $1044.2 billion