Investment Rating - The report indicates a cautious outlook for Amazon, with a focus on long-term potential despite short-term performance concerns [1]. Core Insights - Amazon's 2024 revenue reached $638 billion, an 11% increase year-over-year, with net profit rising approximately 95% to $59.2 billion [1]. - The company anticipates Q1 2025 revenue between $151 billion and $155.5 billion, reflecting a growth of 5% to 9%, which is below Wall Street expectations due to adverse currency effects [1]. - AWS business growth remains steady at around 20%, but is slightly below market expectations, impacted by supply constraints and hardware production delays [3]. - The integration of generative AI is enhancing customer service and operational efficiency, with improvements in customer satisfaction and inventory management accuracy [3]. - Despite potential short-term profit margin pressures due to high investments in AI, the long-term outlook remains positive due to technological barriers and industry positioning [3]. Summary by Sections Financial Performance - Amazon's 2024 total revenue was $638 billion, a growth of 11% from the previous year, with a net profit of $59.2 billion, up from $30.4 billion in 2023 [1]. Revenue Guidance - The company projects Q1 2025 revenue to be between $151 billion and $155.5 billion, indicating a growth rate of 5% to 9%, which is lower than market expectations [1]. AWS Business Analysis - AWS has maintained a revenue growth rate of approximately 20%, but faces challenges from supply limitations and delays in hardware production, with recovery expected in the second half of 2025 [3]. AI Integration and Impact - Generative AI applications are being scaled, leading to improvements in customer service satisfaction by 5% and inventory management accuracy by 10%-20% [3]. - The report suggests that while short-term profit margins may be squeezed due to AI investments, the long-term benefits from technological advancements and market positioning are promising [3].

I have been a Merchant Seaman that has traveled the world for over 30 years. Within the last 15 years, I developed a very intense interest in investing. I learned a lot of what I know about investing from The MF. Also because I have a engineering background, I often tend to gravitate to Tech stocksAnalyst’s Disclosure: I/we have a beneficial long position in the shares of AMZN, GOOGL either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. ...

Investment Rating - The investment rating for the company is "Outperform" [5] Core Views - The company's Q4 profit performance was strong, with Q4 2024 revenue at $187.8 billion (up 10% year-over-year), exceeding guidance of 7%-11%. Operating profit reached $21.2 billion (up 61% year-over-year), surpassing the upper limit of guidance [1][11] - The retail segment continues to focus on low prices and improving fulfillment efficiency, with North America revenue at $115.6 billion (up 10% year-over-year) and international revenue at $43.4 billion (up 8% year-over-year) [1][8] - The cloud and AI segments show strong demand, although supply constraints are expected to ease in the second half of 2025. AWS revenue grew 19% year-over-year, but is currently limited by supply chain issues [2][9] Summary by Sections Performance Overview - Q4 2024 revenue was $187.8 billion (up 10% year-over-year), operating profit was $21.2 billion (up 61% year-over-year), and net profit was $20 billion, exceeding Bloomberg's expectations [1][11] - North America revenue was $115.6 billion (up 10% year-over-year) with an operating profit margin (OPM) of 8% [1][18] - AWS revenue was $28.8 billion (up 19% year-over-year) with an OPM of 37% [9][18] Capital Expenditure - Q4 2024 capital expenditure was $26.3 billion (up 95% year-over-year), driven by AI investments. The company expects 2025 capital expenditure to exceed $100 billion [2][10][23] Earnings Guidance - For Q1 2025, the company expects revenue between $151 billion and $155.5 billion (up 5%-9% year-over-year) and operating profit between $14 billion and $18 billion [2][23] - Full-year revenue forecasts for 2025 and 2026 have been slightly adjusted to $695.4 billion and $764.9 billion, respectively, while profit forecasts have been raised to $68.3 billion and $82.6 billion [3][4] AI and Cloud Strategy - The company is making significant investments in AI across various layers, with a focus on enhancing efficiency and reducing costs [24][26] - The introduction of new chips and services is expected to improve the profitability of AWS's AI offerings in the long term [26] Financial Projections - Projected revenues for 2025 are $695.4 billion, with net profits expected to reach $68.3 billion [4][27] - The company anticipates a continued improvement in profit margins driven by retail and high-margin cloud services [3][9]

Investment Rating - The report maintains a "BUY" rating for Amazon, indicating a potential return of over 15% over the next 12 months [23]. Core Insights - Amazon's 4Q24 results showed revenue of US$187.8 billion, a 10% year-over-year increase, and operating profit of US$21.2 billion, up 61% year-over-year, driven by margin improvements in both North America and AWS segments [1][6]. - For 2025, revenue is projected to grow to between US$151.0 billion and US$155.5 billion, implying a 5-9% year-over-year growth, while operating profit is expected to be between US$14.0 billion and US$18.0 billion [1][6]. - The target price for Amazon has been raised by 14% to US$268.0, based on an 18.5x EV/EBITDA multiple, which aligns with the two-year trading average [1][14]. Financial Performance Summary - In FY24, total revenue reached US$638.0 billion, with a net profit of US$59.2 billion, reflecting a 95% year-over-year increase [1][8]. - For FY25, revenue is estimated at US$702.6 billion, with a net profit of US$71.2 billion, representing a 20.2% year-over-year growth [8][12]. - The operating profit for FY25 is projected to be US$83.8 billion, up 22% year-over-year, despite a negative impact of US$400 million from accounting changes [7][12]. Segment Performance - AWS revenue for 4Q24 was US$28.8 billion, up 18.9% year-over-year, with an operating profit margin of 36.9% [6][10]. - The North America segment reported revenue of US$115.6 billion, a 9.5% year-over-year increase, with operating margin expanding to 8.0% [6][10]. - Advertising services revenue grew 18.0% year-over-year to US$17.3 billion, contributing 9.2% to total revenue in 4Q24 [6][10]. Valuation and Forecast Changes - The valuation period has been rolled over to 2025E, with updated forecasts reflecting a slight decrease in revenue estimates for FY25 and FY26 by 0.4% [12][13]. - The gross profit margin for FY25 is expected to be 50.0%, with an operating profit margin of 11.9% [12][13].

Is Amazon's (AMZN -4.05%) remarkable growth story fizzling? At first glance, one might think so. Management's guidance projects net sales of $151 billion to $155.5 billion for the first quarter of 2025. At the low end of this range, that would be the lowest year-over-year quarterly revenue growth in Amazon's history. However, I think investors should examine the e-commerce and cloud giant's prospects more closely rather than focusing on its outlook for a single quarter. There are 100 billion reasons to buy ...

Retail giant Amazon Inc. (NASDAQ: AMZN ) (TSX: AMZN:CA ) reported quarterly earnings for its 4Q yesterday and the Commerce empire smashed profit estimates on strength in cloud in particular. Though the eCommerce company beat expectations, a weakA financial researcher and avid investor with a keen eye for innovation and disruption, as well as growth buy-outs and value stocks. Keeping an eye on the pace of high tech and early growth companies, I write about current events and the biggest news surrounding the ...

Amazon (AMZN -4.05%) is doing an excellent job of lowering its cost to serve customers while improving its delivery speed.*Stock prices used were the afternoon prices of Feb. 5, 2025. The video was published on Feb. 7, 2025. ...

2025 年 2 月 8 日 公司研究 亚马逊 25Q1 业绩指引不及预期，AI 助力运营效率提升 ——亚马逊（AMZN.O）2024 年四季报业绩点评 买入（维持） 总股本(亿股)： 105.15 总市值(亿美元)： 25113 一年最低/最高(美元)： 151.61/242.52 近 3 月换手率（%）： 0.58% 股价相对走势 资料来源：Wind | 市场数据 | | | | | --- | --- | --- | --- | | % | 1M | 3M | 1Y | | 相对 | 4.7 | 13.3 | 18.9 | | 绝对 | 7.5 | 14.7 | 40.6 | | 资料来源：Wind | | | | 当前价：238.83 美元 作者 分析师：付天姿 CFA FRM 执业证书编号：S0930517040002 021-52523692 futz@ebscn.com 联系人：宾特丽亚 binteliya@ebscn.com 021-52523681 市场数据 相关研报 电商与云的先驱者和守擂者，如何寻求跨 越周期的利润增长？——亚马逊 （AMZN.O）投资价值分析报告 （2024-10-21 ...

Core Viewpoint - Nvidia has been a significant beneficiary of the rise of generative AI, with its stock price increasing nearly eightfold since the launch of OpenAI's ChatGPT, but two other companies, Meta Platforms and Amazon, may have better long-term prospects and could potentially surpass Nvidia's valuation in the coming years [2][4]. Nvidia - Nvidia's market capitalization is approximately $2.9 trillion, and its strong financial results are expected to continue into 2025 as major tech companies plan to invest tens of billions in AI data centers equipped with Nvidia's GPUs [2][3]. - Despite the ongoing demand, there is a growing long-term vulnerability to Nvidia's business model as software innovations may reduce the need for advanced hardware [3]. Meta Platforms - Meta Platforms is one of Nvidia's largest customers, planning to invest between $60 billion and $65 billion in capital expenditures in 2025, including a new data center in Louisiana filled with Nvidia GPUs [5]. - The company has improved its recommendation algorithms significantly, leading to a 6% increase in ad impressions and a 14% increase in average ad prices last quarter [7]. - Meta's AI initiatives, including tools for marketers and AI chatbots for WhatsApp, are expected to drive engagement and revenue growth, with potential for the stock to reach a $3 trillion valuation within three years if earnings grow at a high teens rate [9][11]. Amazon - Amazon's free cash flow has surged from negative $19.7 billion to $47.7 billion over the past year, driven primarily by its cloud computing business, AWS [12]. - The company has seen a 60% increase in operating income over the trailing 12 months, largely due to margin expansion and improvements in its logistics network [14][16]. - Amazon is investing heavily in AWS and e-commerce, with capital expenditures expected to reach about $75 billion in 2024, which could lead to significant free cash flow growth and a potential $3 trillion valuation in the next few years [17][18].

Core Viewpoint - Amazon's latest quarterly report and management comments indicate strong performance and growth potential, reinforcing its position as a significant investment opportunity [1] Financial Performance - The quarterly report highlights Amazon's financial metrics, showcasing substantial revenue growth and profitability [1] Management Insights - Management's comments provide insights into future strategies and market positioning, emphasizing continued investment in key areas to drive growth [1]