Amazon is set to report second-quarter results with analysts expecting earnings per share of $1.33 and revenue of $162.1 billion. Revenue metrics include $30.8 billion for Amazon Web Services and $14.99 billion for advertising. Tariff concerns have weighed on the company, but analysts remain optimistic about Amazon’s performance.

President Trump’s tariffs pose a threat to Amazon’s e-commerce business, with core online stores sales projected at $58.98 billion and seller services revenue at $38.7 billion. Analysts believe the tariff and geopolitical backdrop for Amazon has become more manageable, boosting optimism for the company’s second-quarter report.

Amazon’s third-quarter guidance will provide insight into whether the company expects tariff risks to continue, with revenue projected to reach $173.3 billion. Investors are also watching Amazon’s cloud business, AWS, which saw 17% growth in the first quarter. Amazon has been heavily investing in AI-related projects for AWS.

Despite heavy investments in AI, Amazon’s shares have lagged behind tech peers this year, with a 5.4% increase year-to-date. The company is focused on transforming its workforce with AI tools and agents. Amazon has released AI-upgraded versions of Alexa and formed a new agentic AI group in its R&D unit.

Amazon CEO Andy Jassy remains optimistic about the company’s performance despite tariff concerns and geopolitical challenges. The company’s focus on AI technology and cloud services, as well as its ability to navigate trade policies, will play a significant role in Amazon’s future growth and success in the market.

Read more at CNBC: Amazon (AMZN) Q2 earnings report 2025