Key metrics to watch for Alphabet and Amazon Q4 earnings reports, positive sentiment

From Nasdaq: 2025-02-03 18:34:00

This week, we see major companies like Alphabet and Amazon reporting their Q4 earnings. Analysts expect Alphabet to post $2.12 EPS and $81.4 billion in sales, with a focus on advertising and cloud results. Amazon is expected to show a 50% EPS increase and $28.8 billion in AWS sales, emphasizing cloud performance and AI tools adoption.

Alphabet’s advertising sales are expected to be a key focus in their earnings report, with a consensus estimate of $71.6 billion, reflecting a 10% increase year-over-year. The company’s AI implementations have been driving more relevant results for consumers, leading to positive trends in advertising revenue.

Amazon’s upcoming earnings report is anticipated to show a 50% growth in EPS and a 10% increase in sales. Amazon Web Services (AWS) results will be closely watched, with a forecasted $28.8 billion in sales, reflecting a 19% increase year-over-year. The company’s cloud segment continues to benefit from AI-related tools adoption.

Investors are eagerly awaiting the earnings reports from Alphabet and Amazon, with positive sentiment leading up to the releases. Results from Meta Platforms and Microsoft have helped ease concerns about capital expenditures focused on AI infrastructure. Key metrics to watch include advertising performance for Alphabet and AWS results for Amazon, with guidance likely dictating post-earnings movements for both companies.



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