Amazon's AWS sees 61% surge in operating profits, driving potential growth for the company

From Nasdaq: 2025-05-13 21:23:00

Amazon (NASDAQ: AMZN) continues to impress with its diverse operations and innovative growth strategies, making it one of the most valuable companies globally. With Amazon Web Services (AWS) seeing a 61% surge in operating profits, the company’s cloud business remains a key driver of profitability and growth.

Investors are optimistic about AWS’s potential as companies invest more in tech and AI. Over the past five quarters, AWS has seen a 21% revenue increase to $29.3 billion, with operating income climbing even faster at 61%. With improving margins and a focus on AI, AWS could drive further growth for Amazon.

Despite a 5% decline in Amazon’s stock this year, the company’s strong fundamentals, including nearly $21 billion in free cash flow, make it an attractive long-term investment. With a P/E ratio of less than 35, Amazon’s stock appears undervalued, especially considering the growth potential of AWS and the company’s solid margins.

Don’t miss the opportunity to potentially benefit from investing in successful stocks. The Motley Fool’s “Double Down” stock recommendations have yielded impressive returns for companies like Nvidia, Apple, and Netflix. By joining Stock Advisor, investors can access alerts for three promising companies that could see significant growth in the future.



Read more at Nasdaq: 1 Incredible Stat About Amazon’s Business That Could Send Its Stock Soaring