Amazon’s trailing 12-month price/sales multiple of 2.61x remains well below Snowflake’s 10.80x and Oracle’s 10.37x, reflecting a significant valuation gap in the enterprise software and cloud infrastructure sectors. This disparity underscores differing investor expectations for growth and profitability across these platforms.

The AWS custom chip business, comprising the Trainium and Graviton families, achieved a combined annual revenue run rate exceeding $10 billion by Q4 2025. Both chip lines delivered triple-digit year-over-year revenue growth, driven by strong demand for cost-efficient, high-performance compute in AI and machine learning workloads.

Snowflake’s premium valuation is fueled by accelerating adoption of its AI and data platform, while AWS leverages its chip portfolio to offer optimized cloud services. Oracle’s launch of AI agents in its Fusion Cloud suite adds further pressure on cloud incumbents to innovate rapidly.

Amazon’s lower P/S multiple may attract value-oriented investors seeking exposure to a high-growth cloud segment supported by robust hardware innovation. Continued expansion of the AWS chip ecosystem could enhance gross margins and solidify Amazon’s leadership in AI-driven cloud infrastructure.