Bill Ackman again accumulates waves-it Pershing Square Capital Management just made the bold bet Amazon (Amzn), increasing almost $ 1 billion in quarter in quarter. The BlockBuster step occurs at a time when Amazon is under pressure from tariffs, AWS growth and fierce AIA competition-Audit, stretching up to a year. The aggressive performance of Ackman has again aroused debate about whether there is now a moment when it comes to buying the most established Big Tech giant.
Amazon (amzn) stock price history per year
Despite the macroeconomic winds and competition, Ackman sees resistant AWS, an underdeveloped increase in retail strength and temporary market too much response as convincing reasons for “stock” amzn, and I agree.
Amazon Web Services (AWS) saw its growth accelerated in the first 2025. By a quarter of $ 25 billion revenue and increased by 17%a year. Profitability also increased, and operating revenue has almost doubled from $ 5.1 billion in 2024. First quarter to $ 9.4 billion. As the AWS scale, it continues to be useful from the winds in the powerful cloud computing industry, which are predicted to increase by 20.4% CAGR and exceed 1 trillion in the coming years.
Competing with giants such as Microsoft Azure and Google Cloud Platform (GCP), AWS doubles to promote further demand. The large Amazon investment in the generative AI, implementing initiatives such as its Bedrock platform and custom -made chips such as Trawium, AWS indicates as a leader at this next stage of cloud innovation.
Now calculating about 17% of all Amazon cash, AWS has become so significant in growth engine that it can be separate as the main technology company.
Amazon (amzn) revenue by segment
The main retail segment of the Amazon retail continues to display a high acceleration: domestic revenue increased by 12% per year to $ 86.3 billion. International markets have also positively contributed to the growth of the segment. Importantly, Amazon has turned this historically lower margm business into a much more profitable one, announcing a $ 5 billion performance for a quarter-a noticeable win, taking into account the characteristic challenges of retail operations.
This profitability has been reflecting for many years of strategic investment in its implementation infrastructure, which has been improved to ensure faster transportation and reduce transportation costs. Despite the constant macroeconomic pressure and the changing behavior of consumers, the results of the first quarter retail of Amazon emphasize the resistance of both its business model and customer demand.
Amazon (amzn) income, earnings and profit margling history
Although the retail segment is facing a larger competition between players such as Walmart and Temu, Amazon continues to run the US Electronic Commerce Market, headed by 37.6%and second in Walmart -6.4%. In addition, Amazon’s advertising business-is very integrated into its retail ecosystem-grows in an impressive 24% for a year and remains the main engine of total profitability.
Given the strong Amazon position in retail, cloud computing and AI, it is easy to see why investors such as Bill Ackman were interested. The company offers a variety of growth sectors. It is noteworthy that Amazon’s assessment is based on historical standards and the current price to income ratio is 32.8 compared to its typical range of 40 to 80 in recent years.
The Wall Street Amazon has a strong BUY consensus rating based on the 47 Buy, One Hold and Zero sales ratings in the last three months. The average price of amzn is $ 240.62 – which means that the next twelve months increased by almost 17%.
View more amzn analysts ratings
DBS analyst Nashrulllah Putra Slesieeman has an Amzn purchase rating. He noted that Amazon’s activities, especially in its cloud segment, were impressive, despite the decreasing cash flows due to increased capital costs. He also pointed out that the Amazon retail segment is on the Road Road, showing long -term profitability and improved activity margins. “
Similarly, analyst Brent Thil from Jefferies retains an amzn purchase rating of $ 240. He noted that the 6% AWS BACKLOGHLOGRIT is showing a high demand for AWS services along with 39.5% record activities margin, showing Amazon capabilities to effectively manage capacity restrictions. ” Despite the rates threatening its retail segment, the analyst believes that the retail giant is better suited to control the macroeconomic wind wind than its competitors.
In conclusion, Amazon continues to demonstrate strong results of its main business segments. Its leadership in the e -commerce creates wider economic challenges, and AWS growth emphasizes the successful diversification of the company to large margins and changes in markets. Strategic investment in AI increases its competitive position and opens the door to new verticals.
Nevertheless, investors should remain unforgettable. Cloud computing, digital advertising and e -commerce are intensively competitive industry, while the future success of Amazon will depend on its ability to maintain leadership AWS while increasing higher efficiency and sustainable profitability in retail operations.
Despite the impulses of the activity, Amazon’s shares have been behind this year-in-departments, noting high-level investors such as Bill Ackman. In the pursuit of strong institutional support, the Wall Street “strong purchase” consensus and several rapidly growing sectors, Amazon, remains a convincing long -term investor.
