Amazon Gains on AI, AWS Growth, Analyst Upgrades

Amazon (NASDAQ:AMZN) is generating strong investor interest ahead of its upcoming earnings report, with particular focus on the growth of Amazon Web Services (AWS) and its expanding role in artificial intelligence and cloud computing. AWS continues to be a critical profit driver, showing a 17% year-over-year revenue increase and contributing to Amazon's higher profit margins compared to other retailers. The company's e-commerce segment remains resilient, bolstered by a successful Prime Day that saw a 60% growth in gross merchandise volume, and advertising revenue from its platform is also viewed as a significant growth opportunity. Several financial analysts and brokerages have recently upgraded Amazon's stock price targets, reflecting confidence in its strategic initiatives and solid performance across multiple sectors. Additionally, Amazon is investing in innovative technologies to combat retail fraud, such as funding Cambridge Terahertz, which develops advanced scanning devices to inspect package contents, further protecting its vast logistics operations. These developments, combined with new product releases like the Kindle Colorsoft series, underscore Amazon's ongoing efforts to enhance customer experience and maintain its market leadership.