Amazon.com, Inc. (NASDAQ:AMZN) is one of the stocks related to the AI space that Jim Cramer discussed. Cramer discussed the company’s spending in the space, as he said: “Finally, Amazon raised its full-year CapEx guidance for 2025 from 118 billion all the way up to 125 billion, and CFO Brian Olsavsky said, told us, listen, the amount is going to increase next year too. So even though only Meta stock sold off hard on heightened AI spending, the truth is everybody’s doing it at this point… I think Amazon an ...

Amazon.com, Inc. (NASDAQ:AMZN) is one of the stocks Jim Cramer recently commented on. Cramer discussed the company in detail during the episode. He said: “So let’s consider the case of Amazon. A week ago, despite tremendous derision, I defended owning Amazon on this show, a stock that had fallen behind the other six names in the Mag Seven… First, Amazon reported an incredible quarter with a huge uptick in the web services business, where the growth rate jumped from 17.5% to 20% off a much larger base than ...

Financial Data and Key Metrics Changes - The company reported a slight increase in revenue for Q3 2025 compared to Q3 2024, with adjusted EBITDA slightly ahead of expectations, resulting in a 52.8% adjusted EBITDA margin [4][19] - Free cash flow for Q3 2025 was $44.4 million, up 32% from $33.6 million in Q3 2024, driven by strong adjusted EBITDA conversion and outstanding collections [5][19] - The company expects free cash flow for the year to exceed $95 million, ahead of original expectations [5] Business Line Data and Key Metrics Changes - Corporate channel revenue reached a record $56.3 million, a 6.1% increase from $53.1 million in Q3 2024, driven by strong performance in upper enterprise accounts and public sector business [8][17] - SOHO business revenue was $31.5 million, representing a strategic planned decline of 9.2% from $34.7 million in Q3 2024, reflecting a focus on optimizing profitability [12][18] - Corporate ARPA was $293 for the quarter, down from $301 in Q2 2025 and $310 in Q3 2024, influenced by the expansion of the SMB cohort [10][18] Market Data and Key Metrics Changes - The corporate customer base expanded to approximately 65,000, up over 12% from 58,000 in Q3 2024 [9][17] - The VA segment saw record high usage and revenue, unaffected by the government shutdown, indicating strong adoption [11][12] - SOHO cancellation rate improved to 3.71% from 3.84% in the previous quarter, reflecting better customer retention [13][18] Company Strategy and Development Direction - The company is focused on expanding its corporate SMB and upper enterprise markets while maintaining a strong emphasis on healthcare [15] - A brand refresh for eFax aims to unify the company's advanced solutions under a familiar name, enhancing market trust [14][15] - The company plans to continue opportunistic repurchases of both debt and equity as part of its capital allocation strategy [6][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth trajectory of the VA segment, anticipating continued expansion and increased adoption [28] - The company acknowledged potential near-term headwinds in the SOHO segment due to changes in the search environment, but is executing a recovery plan [13][50] - Management expects to provide full-year 2026 guidance in early 2026, indicating a positive outlook for future performance [53] Other Important Information - The company drew approximately $200 million from its credit facility to retire a like amount of 6% notes, reducing total indebtedness significantly [6][22] - The company ended Q3 2025 with cash of approximately $98 million, sufficient to fund operations and repurchases [21] Q&A Session Summary Question: Can you talk about the VA and corporate sales? - Management noted that the VA continues to expand, with increased usage and ongoing rollout to new facilities, expecting growth to continue into 2026 [28] Question: What is the current penetration of VA sites? - The company is more than 50% deployed in terms of raw numbers, but not all sites are fully utilized yet, indicating potential for future growth [30] Question: What is the expected deceleration rate for SOHO revenue? - Management indicated it is difficult to predict, but expects the decline to continue into 2028 or later, with a focus on stabilizing the customer base [34] Question: Can you discuss advanced product upsells into corporate? - Management highlighted strong performance in AI product adoption and integration services, which are key drivers of revenue growth [37] Question: What factors influenced the decline in SOHO paid ads? - The decline was attributed to a spike in customer acquisition costs and changes in the search environment, with recovery measures already in place [40] Question: Can the VA revenue grow from $10 million to $20 million? - Management indicated that while the current focus is on the eFax platform, there is potential for upselling additional solutions into the VA in the future [42]

Core Insights - IREN Limited has signed a significant $9.7 billion AI cloud services agreement with Microsoft to deploy NVIDIA GB300 GPUs at its Texas campus [1][2] - The company also entered into a $5.8 billion agreement with Dell Technologies for the purchase of GPUs and related equipment [3] - IREN's stock price increased by 14.68%, closing at $76.41 following the announcements [4] Group 1: Agreements and Financials - The multi-year GPU cloud services contract with Microsoft spans five years and includes a 20% prepayment [2] - The agreement with Dell Technologies involves phased deployment of GPUs through 2026, supporting 200MW of critical IT load [3] - IREN plans to finance these capital expenditures through existing cash, customer prepayments, operating cash flows, and additional financing initiatives [3] Group 2: Strategic Implications - The partnership with Microsoft is seen as a demonstration of IREN's vertically integrated AI Cloud platform's strength and scalability [4] - The collaboration is expected to unlock new growth opportunities for both IREN and Microsoft, as well as their customers [4]

week or so in the markets is whether we've hit an inflection point over how AI spending and valuations will be scrutinized going forward. Mackenzie Seagalos joins us now with more. Hey Mac. Hey Scott.So names like Oracle, Broadcom, AMD, and Nvidia have all surged in the past few months off the back of OpenAI partnerships. But now the focus is on who is turning those headlines into real revenue. Only AMD has reported so far.And while it did beat on earnings and guidance, the AI upside is still missing with t ...

Core Insights - DigitalOcean's stock surged over 19% following strong third-quarter growth metrics [1] Financial Performance - Revenue increased by 16% year over year to $230 million, driven by rising demand for AI-related services [3] - Clients generating over $100,000 in annual revenue grew by 26%, with their overall spending increasing by 41% [4] - Adjusted EBITDA rose 15% to $100 million, contributing to profit growth [4] Future Outlook - DigitalOcean raised its full-year revenue forecast to between $896 million and $897 million, up from a previous estimate of $888 million to $892 million [5] - The company attributes its growth to rapid product innovation and effective market execution [5]

Wall Street sees Google Cloud growing at 31% in 2026 — but one analyst is modeling a path to 50%. ...

Core Insights - Wall Street is generally optimistic about AI developments despite increased spending by hyperscalers [1][5] - Major tech companies like Microsoft, Google, and Amazon reported strong cloud business performance [1][4] Company Performance - Amazon's AWS segment growth reaccelerated to 20.2%, the highest since 2022 [3] - Microsoft's cloud revenue increased by 26% to $49.1 billion, while Google's cloud revenue rose 34% year over year to $15.1 billion [4] - Analysts noted robust growth in cloud services, particularly those offering AI infrastructure [5] Financial Concerns - Companies utilizing cloud services, such as OpenAI, are struggling to generate profits despite significant spending [2][6] - OpenAI is projected to spend $1.4 trillion while currently generating only $13 billion in revenue, raising questions about its financial sustainability [7]

Core Insights - The AI revolution has significantly benefited chip designers and cloud computing service providers, with a new focus emerging on infrastructure [1] - Neocloud services, which allow businesses to rent GPU access through cloud infrastructure, have gained traction, with Iren (NASDAQ: IREN) emerging as a notable player [2] Company Overview - Iren initially focused on cryptocurrency, particularly Bitcoin mining, and built extensive data centers with specialized hardware [3] - The company has pivoted to a neocloud model, offering GPU rental services to businesses, allowing them to avoid the complexities of building their own infrastructure [4] Market Activity - Microsoft has invested tens of billions into AI infrastructure, primarily enhancing its Azure cloud platform and forming strategic partnerships [6] - Recently, Microsoft signed a $17.4 billion deal with Nebius for neocloud services and has now entered a $9.7 billion contract with Iren for Nvidia GB300 GPUs, effective from 2026 to 2031 [7][8]

Gorodenkoff / Shutterstock.com Quick Read IREN‘s (IREN) $9.7 billion Microsoft deal validates its AI pivot and drove a 30% stock surge. Analyst upgrades, including Bernstein‘s $125 target, highlight growth potential amid surging AI demand. The path to $200 hinges on efficient financing, residual asset value, and flawless rollout. Some investors get rich while others struggle because they never learned there are two completely different strategies to building wealth. Don’t make the same mistake, lea ...