Maxim Group's Tom Forte: Amazon is not feeling pressure from tariffs so far

Core Insights - Amazon is currently not feeling significant pressure from tariffs due to heavy inventory built in anticipation of these tariffs [2][3] - The company's marketplace model, where 60% of items are sold by third-party sellers, provides a structural advantage that helps maintain competitive pricing [2][9] - Prime Day in October is viewed as a strategic move to capture consumer spending ahead of the holiday season, contrasting with the earlier Prime Day which focused on logistics testing [4][10] Financial Performance - Year-to-date, Amazon's stock performance is flat, underperforming compared to other tech stocks, particularly those heavily involved in AI [5][16] - The company has made favorable comments regarding the impact of tariffs in its second-quarter earnings call, indicating resilience in its retail position [12] Competitive Landscape - Amazon's competitive advantage is highlighted against retailers like Dollar General, as Amazon's core consumers tend to have higher incomes [13] - The company is actively trying to compete on value, such as offering $5 grocery items [13] Technology and Innovation - Amazon is expected to leverage technology, including AI, to enhance e-commerce revenue, although the effectiveness of chatbot shopping remains uncertain [14][15] - The performance of Amazon Web Services (AWS) in comparison to competitors like Microsoft Azure and Google Cloud will be crucial for potential stock rallies in the latter half of the year [16]