Amazon expects Q3 net sales between $197.0 bln and $202.0 bln, up 9%-12% y/y
Company anticipates Q3 operating income between $22.5 bln and $26.5 bln
Amazon says Q3 guidance assumes unfavorable FX impact of about 80 basis points
Growth drivers
AWS growth - AWS segment sales rose 37% yr/yr, its fastest growth in 18 quarters, driven by demand for AI and cloud services
AI and chips businesses - AI and chips businesses each exceeded $25 bln annualized run rates, growing triple-digit percentages yr/yr, according to CEO Andy Jassy
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 65 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the department stores peer group is "buy"
Wall Street's median 12-month price target for Amazon.com Inc is $315.00, about 39% above its July 29 closing price of $226.65
The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 25 three months ago
Q2 results beat expectations
E-commerce and cloud giant's Q2 net sales rose 20% and beat analyst expectations
Adjusted EPS for Q2 beat analyst expectations, boosted by Anthropic investment gains
AWS segment sales grew 37% yr/yr, its fastest growth in 18 quarters
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