Amazon(US:AMZN) Huan Qiu Wang Zi Xun·2025-11-02 04:50Core Insights - Amazon experienced a significant market sentiment turnaround within two days after announcing its Q3 earnings, with AWS revenue reaching $33 billion, a 20% year-over-year increase, marking the fastest growth since 2022 [1][2] - The company raised its full-year capital expenditure guidance and reported multiple AI product lines achieving revenue breakthroughs, leading to a historic high in stock price [1] Financial Performance - AWS added over 3.8 gigawatts of new power capacity in the past 12 months, with backlog contracts increasing to $200 billion [2] - New orders signed in October exceeded the total for the entire third quarter, indicating a strong demand conversion [2] Market Sentiment and Analyst Reactions - Analysts from Evercore and William Blair noted that the earnings report represents a critical step in reshaping market perception, while Barclays stated that recent developments have alleviated market concerns [2] - Baird's senior analyst highlighted that the management restructuring has improved resource allocation for future AI investments [2] AI Development and Competitive Landscape - Despite strong financial results, some analysts pointed out that Amazon's pace of AI commercialization lags behind competitors like Microsoft and Google [2] - DA Davidson emphasized that Amazon needs to accelerate product iteration and ecosystem integration in its AI initiatives [2] Future Outlook - Amazon anticipates continued improvement in operating profit for Q4 and has committed to increasing AI infrastructure investments by 2025 [2] - Investors are keen to see if Amazon can maintain the momentum in AWS and narrow the gap in the generative AI race against its competitors [2]