Why Amazon Stock Reminds Wedbush's Devitt of Google

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Transcript

00:00Let's talk about Amazon, let's talk about AWS, and let's talk about that AI spend.

00:05Are you comfortable with the numbers that you saw today?

00:08It's hard to keep up, yeah, but the AWS numbers and the overall numbers for Amazon here,

00:14this is the cleanest quarter this company's had in some time.

00:18There's a few normalizations in the quarter related to the operating income that you reported

00:22that were one-time items, so when you adjust for that, they actually beat on operating income,

00:26they moderately beat on revenue, but the most important line item was the 20% AWS growth

00:31because now you're going to start getting a bigger contribution from Anthropic in the

00:36AWS business as well, so there's kind of an upward trajectory in terms of growth rate going into

00:402026, and that's been the predominant reason that's held the stock back.

00:44I think kind of possibly on the verge of Amazon kind of becoming that next Google trade that

00:50happened in 2025 where it's a company that's been somewhat left for dead, the multiples

00:54compressed, and you're just at the beginning of an acceleration in the core business.