Is Amazon Stock a Buy After CEO Andy Jassy's $1 Trillion AWS Revenue Prediction?

Published August 3, 2026 · Category: Finance

Overview

Amazon (NASDAQ: AMZN) shares surged after a strong second-quarter earnings report. What likely really grabbed investors' attention was CEO Andy Jassy predicting that its cloud computing unit, Amazon Web Services (AWS), could become a $1 trillion revenue business. Jassy is not known for his bold predictions, unlike Elon Musk, so this likely carried more weight with investors.

The highlight of Amazon's quarter was once again AWS, with revenue surging 37% year over year to $42.2 billion. That was an acceleration from the 28% growth it saw in the first quarter and the 24% growth it saw in the fourth quarter. It was AWS' fastest revenue growth in nearly four and a half years (18 quarters).

Details

Jassy said that both its artificial intelligence (AI) and chip businesses now had more than $25 billion revenue run rates, with its AI business growing by triple digits. Its backlog also grew by triple digits to $496 billion.

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Source

Originally published at www.fool.com.

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