{"id":44842,"date":"2025-11-01T11:36:01","date_gmt":"2025-11-01T11:36:01","guid":{"rendered":"https:\/\/quickassetsmarket.com\/index.php\/2025\/11\/01\/amazon-shares-surge-12-lifting-markets-as-aws-revival-sparks-stock-surge\/"},"modified":"2025-11-01T11:36:01","modified_gmt":"2025-11-01T11:36:01","slug":"amazon-shares-surge-12-lifting-markets-as-aws-revival-sparks-stock-surge","status":"publish","type":"post","link":"https:\/\/quickassetsmarket.com\/index.php\/2025\/11\/01\/amazon-shares-surge-12-lifting-markets-as-aws-revival-sparks-stock-surge\/","title":{"rendered":"Amazon shares surge 12%, lifting markets as AWS revival sparks stock surge"},"content":{"rendered":"
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Amazon shares soared more than 12% on Friday to a 52-week high after the company posted stronger-than-expected third-quarter results and signaled renewed momentum in its cloud computing and advertising businesses. <\/p>\n

The performance eased investor concerns about Amazon Web Services (AWS), which had shown signs of slowing earlier this year, and reignited confidence in the tech giant\u2019s growth trajectory amid rising AI demand.<\/p>\n

The stock surge also powered the broader market indices in the session. <\/p>\n

The Dow Jones Industrial Average edged up 0.31% to around 47,671.99, just below its record close of 47,706 set on October 28. <\/p>\n

The S&P 500 gained 0.8%, while the Nasdaq advanced roughly 1.5%, powered by Amazon’s surge.<\/p>\n

AWS growth accelerates after period of uncertainty<\/h2>\n

AWS revenue climbed 20% year-over-year to $33 billion<\/a> in the September quarter, topping analyst expectations of $32.5 billion and marking its fastest growth in nearly three years. <\/p>\n

The cloud division\u2019s rebound comes after several quarters of deceleration that had raised questions about Amazon\u2019s competitiveness in artificial intelligence and enterprise computing.<\/p>\n

Evercore ISI analyst Mark Mahaney described the resurgence as an \u201cAWS unlock,\u201d highlighting a 150% sequential jump in revenue from Amazon\u2019s Trainium custom-chip business\u2014an area that had previously been a source of investor skepticism. <\/p>\n

\u201cThe AI narrative has flipped positive for AWS,\u201d Mahaney wrote, noting that demand for AI infrastructure and training workloads has reignited growth.<\/p>\n

Wedbush analyst Scott Devitt echoed the sentiment, observing a \u201cpositive narrative shift\u201d as AWS growth improved from 17.5% in the June quarter to 20.2% in the September period. <\/p>\n

Devitt projects that AWS growth could reach 22% in the December quarter, citing rising demand, expanding backlog, and higher capital expenditures.<\/p>\n

Amazon CEO Andy Jassy emphasized that demand for AI and core infrastructure remains strong, saying the company has doubled AWS capacity since 2022 and plans to double it again by 2027. <\/p>\n

The company now expects capital expenditures to reach $125 billion this year, up from $100 billion, and anticipates further increases in 2026.<\/p>\n

Broader business strengthens amid advertising and retail momentum<\/h2>\n

While AWS remains Amazon\u2019s profit engine, other segments also posted strong results. <\/p>\n

Advertising revenue jumped 24% year-over-year, accelerating from the 23% pace recorded in the prior quarter. <\/p>\n

Analysts highlighted the segment\u2019s growing importance to Amazon\u2019s bottom line, given its high margins relative to the company\u2019s retail operations.<\/p>\n

Pivotal Research Group\u2019s Jeffrey Wlodarczak noted that Amazon \u201coperates two high-margin growthy businesses\u201d\u2014AWS and advertising\u2014alongside its vast logistics network. <\/p>\n

He said AI and robotics could help Amazon \u201cmaterially juice margins\u201d over the medium to long term.<\/p>\n

Retail, though lower-margin, continues to be Amazon\u2019s revenue backbone. <\/p>\n

Mahaney called retail growth \u201crobust\u201d and \u201cconsistent,\u201d while Mizuho\u2019s Jordan Klein described both e-commerce and advertising as \u201cmonsters\u201d with strong near-term catalysts.<\/p>\n

Earnings beat, analyst optimism push shares to record high<\/h2>\n

For the September quarter, Amazon reported adjusted earnings per share of $1.95, far exceeding Wall Street\u2019s $1.57 consensus estimate. <\/p>\n

Revenue reached $180.2 billion, ahead of expectations of $177.9 billion, with strong contributions from cloud and advertising. <\/p>\n

The company guided fourth-quarter revenue between $206 billion and $213 billion, compared with analysts\u2019 $208.4 billion forecast.<\/p>\n

The strong results sent Amazon stock up as much as 14% during trading, reaching $250.50\u2014a new record high. <\/p>\n

Analysts remained optimistic about further upside, with UBS raising its price target to $279, citing opportunities across e-commerce, cloud, advertising, and its satellite project, Kuiper.<\/p>\n

Despite lagging the broader tech sector for most of the year, Amazon\u2019s latest performance has repositioned it as a frontrunner in the AI and cloud race. <\/p>\n

With AWS growth reaccelerating and investors regaining faith in management\u2019s execution, the company appears poised for a stronger finish to 2025.<\/p>\n

The post Amazon shares surge 12%, lifting markets as AWS revival sparks stock surge<\/a> appeared first on Invezz<\/a><\/p>\n

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Amazon shares soared more than 12% on Friday to a 52-week high after the company posted stronger-than-expected third-quarter results and signaled renewed momentum in its cloud computing and advertising businesses. The performance eased investor concerns about Amazon Web Services (AWS), which had shown signs of slowing earlier this year, and reignited confidence in the tech <\/p>\n","protected":false},"author":1,"featured_media":44843,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":{"0":"post-44842","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-investing"},"_links":{"self":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/44842","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/comments?post=44842"}],"version-history":[{"count":0,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/44842\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media\/44843"}],"wp:attachment":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media?parent=44842"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/categories?post=44842"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/tags?post=44842"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}