Amazon Stock Jumps on Earnings Beat, Cloud Growth

Core Insights - Amazon's stock surged in after-hours trading following a strong third-quarter performance, driven by growth in cloud and advertising sectors [1][3] - The company reported net sales of $158.9 billion, an 11% increase year-over-year, surpassing Wall Street's expectations of $157.3 billion [1][2] - Earnings per share (EPS) rose over 50% to $1.43, exceeding analyst forecasts [1] Revenue Breakdown - Amazon Web Services (AWS) revenue increased by 19% to $27.4 billion, aligning with expectations, and showing an acceleration in growth compared to earlier in the year [2] - Advertising revenue grew by 19% to $14.3 billion, meeting analysts' expectations and highlighting its status as a rapidly growing revenue stream [3] Future Outlook - For the fourth quarter, Amazon forecasts net sales between $183.5 billion and $188.5 billion, with the midpoint slightly below analyst expectations of $186.4 billion [2] - Capital expenditures (CapEx) rose by 5% year-over-year to $22.2 billion, reflecting increased investment in data center infrastructure amid competition in the AI space [4]