Amazon.com (NASDAQ:AMZN) Releases Earnings Results, Beats Estimates By $3.93 EPS

Posted by Geri Gentry on Aug 1st, 2026

Amazon.com, Inc. (NASDAQ:AMZN) released its quarterly earnings results on Thursday. The e-commerce giant reported $5.75 earnings per share for the quarter, beating analysts’ consensus estimates of $1.82 by $3.93, FiscalAI reports. The business had revenue of $200.61 billion during the quarter, compared to analyst estimates of $197.03 billion. Amazon.com had a return on equity of 19.59% and a net margin of 17.44%.Amazon.com’s revenue for the quarter was up 19.6% on a year-over-year basis. During the same quarter last year, the company posted $1.68 EPS.

Here are the key takeaways from Amazon.com’s conference call:

Amazon reported strong Q2 results, with revenue of $200.6 billion, up 20% year over year, and operating income of $27.5 billion, up 43%.
AWS growth accelerated sharply to 36.7%, reaching a $169 billion annualized revenue run rate, with $496 billion in backlog and operating income of $16.6 billion. Management said AI and core cloud workloads are reinforcing each other and that AWS could eventually become a $1 trillion annual-revenue business.
Amazon raised its 2026 cash CapEx outlook to approximately $220 billion from $200 billion, primarily because of higher memory costs. Management expects near-term free-cash-flow pressure as data centers are built ahead of monetization, despite forecasting attractive long-term returns.
Commerce and advertising trends remained strong, including more than 40% growth in same-day or overnight deliveries, over 50% growth in monthly active perishables customers, and 26% advertising revenue growth to $19.8 billion.
Q3 revenue guidance is $197 billion to $202 billion and operating income guidance is $22.5 billion to $26.5 billion. The expected sequential slowdown largely reflects Prime Day shifting into Q2 this year rather than Q3 in 2025, along with an estimated 80-basis-point foreign-exchange headwind.

Amazon.com Trading Up 15.3%

Shares of NASDAQ AMZN opened at $271.58 on Friday. The business has a 50 day simple moving average of $245.70 and a 200 day simple moving average of $236.22. Amazon.com, Inc. has a 52 week low of $196.00 and a 52 week high of $278.56. The stock has a market cap of $2.92 trillion, a price-to-earnings ratio of 21.85, a PEG ratio of 1.75 and a beta of 1.46. The company has a debt-to-equity ratio of 0.27, a quick ratio of 1.01 and a current ratio of 1.18.

Amazon.com News Summary

Here are the key news stories impacting Amazon.com this week:

Positive Sentiment: Amazon reported record quarterly sales of $200.6 billion, up nearly 20% year over year, while earnings per share of $5.75 significantly exceeded the $1.82 consensus estimate. Operating income rose 43% to $27.5 billion. Amazon second-quarter results
Positive Sentiment: AWS revenue accelerated 37% to $42.2 billion—its fastest growth in 18 quarters—beating expectations as enterprise AI demand strengthened. The result helped ease concerns that Amazon’s massive AI infrastructure investments would not produce adequate returns. Amazon AWS growth
Positive Sentiment: Advertising revenue climbed 26% to approximately $19.8 billion, while stronger e-commerce activity and robotics-supported fulfillment added to the broad-based quarterly beat.
Positive Sentiment: Multiple firms raised their price targets following the results, including JPMorgan to $365, Benchmark to $400, Truist to $350, and RBC to $330. Analysts cited accelerating AWS growth, AI monetization and margin potential. Amazon analyst price targets
Positive Sentiment: Amazon completed the remaining $35 billion of its planned OpenAI investment, bringing its total commitment to $50 billion. The partnership could support future AWS demand, although it also increases capital commitments. Amazon OpenAI investment
Neutral Sentiment: Amazon raised its 2026 capital-spending outlook to $220 billion to expand AI and cloud capacity. Management sees demand extending into 2028, but the scale of spending will keep free cash flow and funding requirements under scrutiny.
Neutral Sentiment: The company expects third-quarter revenue of $197 billion to $202 billion, below the roughly $204.6 billion analyst consensus, creating a potential near-term headwind despite the strong quarter.
Negative Sentiment: Amazon faces consumer lawsuits alleging misleading seafood sustainability claims and the sale of protein powder allegedly contaminated with heavy metals. The cases could create legal, reputational and compliance costs, though their financial impact is currently unclear. Amazon consumer lawsuit

Insider Transactions at Amazon.com

In other Amazon.com news, CEO Matthew S. Garman sold 15,467 shares of the business’s stock in a transaction dated Thursday, May 21st. The stock was sold at an average price of $263.40, for a total value of $4,074,007.80. Following the completion of the sale, the chief executive officer owned 14,159 shares of the company’s stock, valued at $3,729,480.60. The trade was a 52.21% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP David Zapolsky sold 9,270 shares of the firm’s stock in a transaction that occurred on Friday, May 22nd. The shares were sold at an average price of $268.53, for a total value of $2,489,273.10. Following the completion of the transaction, the senior vice president directly owned 41,190 shares in the company, valued at $11,060,750.70. The trade was a 18.37% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 135,719 shares of company stock valued at $36,438,002. Insiders own 8.90% of the company’s stock.

Institutional Investors Weigh In On Amazon.com

A number of hedge funds have recently bought and sold shares of AMZN. Elkhorn Partners Limited Partnership boosted its stake in Amazon.com by 900.0% during the 4th quarter. Elkhorn Partners Limited Partnership now owns 200 shares of the e-commerce giant’s stock valued at $46,000 after purchasing an additional 180 shares during the period. Bridge Generations Wealth Management LLC increased its position in Amazon.com by 2,330.0% in the 3rd quarter. Bridge Generations Wealth Management LLC now owns 243 shares of the e-commerce giant’s stock worth $53,000 after buying an additional 233 shares during the period. Cooksen Wealth LLC lifted its holdings in shares of Amazon.com by 23.5% during the second quarter. Cooksen Wealth LLC now owns 247 shares of the e-commerce giant’s stock worth $54,000 after buying an additional 47 shares during the last quarter. WHI TRUST Co LLC acquired a new position in shares of Amazon.com during the fourth quarter worth approximately $71,000. Finally, Sagard Holdings Management Inc. bought a new stake in shares of Amazon.com in the second quarter valued at approximately $79,000. 72.20% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on AMZN. Citigroup reissued a “buy” rating and set a $350.00 price target (up from $325.00) on shares of Amazon.com in a research report on Friday. Moffett Nathanson raised their price objective on Amazon.com from $283.00 to $288.00 and gave the stock a “buy” rating in a research report on Tuesday, April 7th. Barclays reaffirmed an “overweight” rating and set a $365.00 target price (up from $330.00) on shares of Amazon.com in a research note on Friday. Susquehanna reiterated a “positive” rating and issued a $325.00 target price (up from $300.00) on shares of Amazon.com in a report on Thursday, April 30th. Finally, DA Davidson reissued a “neutral” rating and issued a $250.00 price target on shares of Amazon.com in a research report on Friday. Fifty-six investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $322.12.

View Our Latest Stock Report on AMZN

About Amazon.com

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Amazon.com, Inc is a diversified technology and retail company best known for its e-commerce marketplace and broad portfolio of consumer and enterprise services. Founded by Jeff Bezos in 1994 and headquartered in Seattle, Washington, the company launched as an online bookseller and expanded into a global retail platform that sells products directly to consumers and provides a marketplace for third-party sellers. Over time Amazon has grown beyond retail into areas including cloud computing, digital media, devices and logistics.

Key businesses and offerings include Amazon’s online marketplace and fulfillment services, the Amazon Prime membership program (which bundles expedited shipping with streaming and other benefits), Amazon Web Services (AWS) which supplies on-demand cloud computing and storage to businesses and public-sector customers, and a range of content and advertising services such as Prime Video and Amazon Advertising.