Amazon's Q4 2024 financial results showed a 10% increase in net sales to $187.8 billion, with operating income rising to $21.2 billion and net income doubling to $20.0 billion. AWS sales grew by 19% year-over-year. For the full year 2024, net sales increased by 11% to $638.0 billion, with operating income nearly doubling to $68.6 billion. Despite short-term volatility and high capital expenditures, Amazon's strong fundamentals and market position make it a favored long-term investment, with analysts maintaining a bullish outlook on its future growth in cloud computing and AI.
Key takeaways:
- Amazon's stock price as of February 24, 2025, is approximately $216.58 per share, with a market cap of $2.23 trillion.
- The stock price has been declining due to weaker-than-expected Q1 2025 sales forecasts and concerns over high spending on AWS and AI infrastructure.
- Amazon's Q4 2024 financial results showed a 10% increase in net sales and a 100% increase in net income compared to the previous year.
- Analysts predict Amazon's stock could reach $260-$280 by the end of 2025, with a potential $3 trillion market cap by 2026.