Amazon is on track to add $300 billion in market value after blockbuster AWS earnings

AWS provides cloud services underpinning many sites and applications.Noah Berger/Getty Images for Amazon Web ServicesAmazon popped over 13% after the retail giant reported earnings for the last quarter.AWS was the showstealer, with sales in Amazon’s cloud business growing 20%.The latest rally has added over $300 billion in value to Amazon’s name.The move: Amazon jumped 13% in premarket trading, on track to add over $300 billion in value. The stock was up less than 2% through Thursday’s close. Why: Investors took in blockbuster earnings from the e-commerce giant for the third quarter, with significant growth seen in Amazon’s cloud business. The firm pulled $180.1 billion in revenue, beating the $177.8 billion analysts expected for the last quarter. Earnings per share also came in at $1.95, beating estimates.Amazon Web Services stole the show in the quarter. Sales in AWS grew 20% year-over-year in the third quarter, marking its fastest growth since 2022.Amazon also said it expected to spend $125 billion on capital expenditures in 2025, up from the $83 billion it spent last year.What it means: AWS has been an increasingly important part of Amazon’s business as the firm looks to be a leader in the AI race.The growth seen in Amazon’s cloud business is a tangible sign that the firm’s AI spend is paying off. Other mega-cap tech firms have also earmarked billions for capex, though monetization plans for some companies remain unclear.”Following a reacceleration in AWS growth and positive commentary this quarter, we believe investors have regained comfort in management’s ability to retain a leading position in the AI space," Dan Ives, an analyst at Wedbush Securities, wrote in a note on Friday.Read the original article on Business Insiderhttps://www.businessinsider.com/amazon-stock-price-rally-amzn-earnings-aws-revenue-capex-growth-2025-10