Overview
- Fresh analysis argues Amazon’s willingness to experiment remains its core competitive advantage for future returns.
- Automation in fulfillment centers is said to be lowering costs and speeding delivery, which encourages more frequent shopping and strengthens the e-commerce moat.
- Amazon Web Services is still described as the leading cloud provider, with Microsoft second in a market cited at about $116 billion.
- Scale is flagged as a constraint on outsized growth, with trailing revenue around $670 billion tempering expectations for future gains.
- The company recently beat Q2 expectations with $167.7 billion in revenue (+13% year over year) and $1.68 EPS, and guided Q3 revenue to $174–$179.5 billion with operating income of $15.5–$20.5 billion as investors weighed margins and cloud competition.