Is This a Rare Buying Opportunity for Amazon Stock?

Core Viewpoint - Amazon's stock appears undervalued despite strong financial performance, with only a 5% gain in 2025, suggesting potential for future growth [1][2]. Group 1: Financial Performance - Amazon's overall revenue increased by 13% year-over-year in Q3, while net income rose by 38% year-over-year, indicating strong financial health [11]. - The company's online advertising segment grew by 24% year-over-year in Q3, reaching $17.7 billion, contributing to improved margins [6][5]. Group 2: Business Diversification - Amazon has diversified its business beyond online retail, with significant contributions from Amazon Web Services (AWS) and online advertising [5][2]. - AWS revenue growth has accelerated to a 20% year-over-year growth rate, returning to 2022 levels, driven by increased demand for cloud computing [8][9]. Group 3: Artificial Intelligence Integration - Amazon is leveraging artificial intelligence to enhance its offerings, including personalized product recommendations and targeted ads [11]. - The introduction of Trainium2 AI chips has reduced chip costs and created a multibillion-dollar business segment, with a sequential growth of 150% [10].