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Amazon rated Strong Buy as AWS posts 39% revenue growth and strong future outlook despite cash flow concerns.

Company Fundamentals
30 Oct 2026, 20:05 WIB
Seeking Alpha
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Bullish
Amazon rated Strong Buy as AWS posts 39% revenue growth and strong future outlook despite cash flow concerns.

Amazon.com, Inc. is rated a Strong Buy due to its Amazon Web Services (AWS) segment achieving a record 39% revenue growth, with management forecasting over 40% growth through 2028. Although Amazon faces challenges like negative free cash flow and rising debt, its substantial AWS backlog of $578 billion, averaging 6.4 years, supports future revenue and margin growth. The retail and advertising divisions also showed significant operating margin improvements. However, investors should be prepared for ongoing volatility and free cash flow issues likely to continue until 2027. The stock remains attractively valued at 18.87 times forward earnings.

Amazon.com Inc is trading at USD 238.62 on Pluang as of Oct 31, 2026 00:22 WIB, down 2.12% for the day. The stock holds a substantial market cap of $2.64 trillion with a typical hold time of 128 days among Pluang investors. This trading activity occurs alongside the company's strong AWS growth outlook highlighted in the news.

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