From Nasdaq MarketSite: 2024-04-25 15:41:57

Artificial Intelligence (AI) stocks remain popular among investors as AI continues to drive growth in industries. Meta Platforms (META), the parent company of Facebook, reported strong first quarter results, with revenue up 27% and earnings per share up 114%. Meanwhile, Amazon (AMZN) continues to thrive due to its e-commerce dominance and cloud computing success. AWS, Amazon’s cloud division, reported $24.2 billion in sales in Q4, contributing significantly to the company’s bottom line. AWS holds a 31% market share in cloud computing. Amazon Prime, the subscription service, boosts customer loyalty, while advertising revenue increased 26% in the fourth quarter.

Meta Platforms anticipates increased capital expenditures as it aggressively invests in AI projects. For 2024, analysts expect Meta’s revenue and earnings to increase by 17.7% and 34.8%, respectively. Earnings per share for Amazon are expected to increase to $0.83 from $0.31 in the prior-year quarter. Amazon is set to release its first-quarter results on April 30, with management forecasting 8% to 13% revenue growth. Overall, Wall Street rates Meta Platforms and Amazon as a “strong buy,” with a high potential upside for both stocks over the next 12 months.



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