Amazon CEO Andy JassyReuters; Sebasten Bozon/AFP Chelsea Jia Feng/Biel
Amazon will report the fourth quarter on Thursday after the bell.
Wall Street is bullish about cloud question and retail force.
The expectations are high for Amazon’s performance in 2025.
Of Amazon Profit around the Hoek, Wall Street -Investors expect solid results from the Tech giant.
The e-commerce Titan will report on Thursday after the Bell and analysts are happy about the performance of the company at the year. Strong vacation -Question and growth of the advertisement income are among the positive factors.
More striking is the Cloud-computing platform of Amazon, AWS, which investors expect it will be a most important motivation, both in the fourth quarter and in 2025.
This is what top analysts watch Amazon’s win results.
Bank of America says that Amazon will probably beat the estimates of the operational profit at $ 19.7 billion after a solid fourth quarter driven by a strong holiday season. The company will be $ 187 billion in quarterly sales in an available insights, in line with Wall Street projections.
Bofa expects investors to focus on AWS growth, ai -scale distribution, advertisement income and the prospects for 2025 expenditure. The question of the cloud must remain robust, while AI can make a meaningful contribution to growth the following year.
“Drivers include the growing partnership of Amazon with anthropic, new competing AI offers (including Nova models and lower infrastructure costs on trainium), and Ramping GPU offer (larger NVIDIA chip offer and the launch of Nvidia’s Blackwell Productss ), “The said bank.
Bofa Minain a “buy” rating on Amazon and a price objective of $ 255, about 8% above the current price.
Deutsche Bank is preparing for an income beat, powered by an improved American background of the consumer and the increasing demand for AI. AWS -Marges and gross profit per unit must also exceed expectations, making $ 21 billion in business income look feasible for the bank – about 7% above consensus.
“Our trust in these prospects is informed by checks that have indicated a broad acceleration in the overall Gen-AI question in combination with an always positive industrial attitude towards AWS’s Suite of AI services,” analysts wrote. “To that end, we believe that AWS can probably add incremental AI dollars in the 4Q in at least the low hundreds, if not mid-hundred millions of Q/q.”
As a supplement to this rugwind, the more and more optimized cost-service, strong advertising growth of the company and a better holiday question is.
Deutsche Bank has a price target of $ 275 on Amazon, almost 17% higher than the current level.
According to Wedbush Securities, the profit of the shopping efficiency and a strong American holiday season has set Amazon on course for a year of meaningful margin extension.
The investment company expects Amazon to deliver $ 20.7 billion to business income in the fourth quarter, 9% above consensus estimates. This figure would mean that the company surpassed the initial income expectations of 2024 by more than 40%, expects a performance wedbush to repeat Amazon.
“Although the bar is higher this year, we think that Amazon again exceeds expectations in 2025, and our estimate of the business income is 5% above consensus,” said a team led by analyst Scott Devitt.
Wedbush is not worried about observed headwind that investors have “exaggerated conservatively” on the margin potential of Amazon, such as rising costs behind the satellite and AI initiatives of the company. Instead, retail power, fulfillment optimization and AWS will drive the e-commerce giant to more profit with a higher margins and advertising income.
Wedbush maintains an “outperform” rating on Amazon. It increased its price target to $ 280, which implies a profit of almost 19% compared to the current levels.
Amazon places Robotics centrally in its warehouse company, an advantage that investors may be undervalued, according to research analyst Brian Nowak.
“Amazon now has industrial robots that can increase efficiency in storage, inventory management, pick/pack, sort and outgoing phases of the order fill fillment process,” he wrote. “Given that the implementation costs of almost 20% of retail income (where work is estimated ~ 60% of the implementation costs), automation can have a significant effect on the EBIT potential in the long term.”
This is a positive positive in the long term that could unlock $ 10 billion in savings for the company by 2030, if 30% to 40% of Amazon’s American units are maintained by Robotics-compatible warehouses.
Morgan Stanley has a “overweight” rating on Amazon and a price target of $ 280, with an almost 19% advantage of the current levels.
Improving the growth of the advertisement In the fourth quarter, Mizuho analysts convinced that consumer spending is normalizing, a macro-positive for the e-commerce giant. Price improvements for both staples and discretionary products indicate a healthier consumer environment.
“In general, we believe that risk/reward is favorable for Amzn in the print because of (1) AWS Outperformance; (2) Expansion for retail margin; and (3) Capital efficiency of mixers’ shift to adapted ASICs,” said the investment company.
Mizuho has an “outperform” rating on Amazon shares and has a price target of $ 285, 20% higher than the current level.
