Amazon.com Inc (NASDAQ:AMZN) could show off more growth for its AWS segment when the company reports fourth-quarter (Q4) financial results Thursday after market close.
Here are the earnings estimates, what analysts are saying and the key items to watch.
Amazon Q4 Earnings Estimates
Analysts expect the e-commerce giant to report Q4 revenue of $211.33 billion. That’s up from $187.79 billion in last year's Q4, according to Benzinga Pro.
The company has beaten analyst estimates for revenue in nine of the last 10 quarters, including in five straight quarters.
Analysts expect Amazon to report Q4 earnings per share of $1.96, up from $1.86 in last year's fourth quarter.
The company has beaten analyst estimates for earnings per share in 12 straight quarters.
Guidance from the company calls for Q4 revenue to be in a range of $206.0 billion to $213 billion.
Amazon Analyst Ratings and Price Targets
Analysts are bullish on Amazon stock heading into the quarterly financial results. Wedbush’s Scott Devitt, who maintains an Outperform rating and a $340 price target, said Amazon is "firing on all cylinders.”
"Investor confidence has been building, with sentiment turning more positive following the company's strong report last quarter," Devitt said.
The analyst highlighted AWS growth and demand as a key area to watch going forward.
"We expect 2026 to be a big year for AWS serving to catalyze shares toward our $340 PT as the year plays out."
Devitt said margins, AWS buildout, monetization of Project Kuiper and a potential increase in Prime Video subscription prices are other areas to watch.
Anthropic strength could set Amazon up for a strong quarter and guidance, Citizens analyst Andrew Boone said ahead of the quarterly results.
The analyst reiterated a Market Outperform rating and raised the price target from $300 to $315.
The analyst said AWS is the primary compute partner for Anthropic and Anthropic's recent increased revenue projections "bode well" for Amazon.
"Reportedly, Anthropic expects to spend ~$7B on inference and $12B+ on training in 2026, and we assume Amazon will capture the majority of this spend," Boone said.
The analyst said Anthropic could generate $10 billion in AWS revenue for 2026.
"Simply put, Amazon is actively solving for its capacity constraints, positioning it to benefit from the growing demand for AI and compute more broadly."
Here are other recent analyst ratings on Amazon and their price targets:
- UBS: Maintained Buy rating, raised price target from $310 to $311
- Telsey: Maintained Outperform rating, with price target of $300
- Oppenheimer: Maintained Outperform rating, raised price target from $305 to $315
Key Items To Watch In Amazon's Q4 Results
Amazon's Q4 report comes shortly after the company announced it delivered over 13 billion items globally in 2025. The company highlighted its same-day or next-day shipping for Prime members and recent investments to improve rural delivery in its announcements.
Strong e-commerce and retail figures may fail to win over investors who want to see growth for AWS and higher-margin items. Amazon's third quarter saw overall revenue up 13% year-over-year with AWS leading the way with 20% growth.
Amazon CEO Andy Jassy said at the time that AWS was growing at a pace not seen since 2022. Investors and analysts will be closely monitoring for similar growth and management commentary.
Amazon typically highlights its Prime Video and entertainment segment each quarter. The company could highlight strong results for "Thursday Night Football" and viewership for its NFL Playoffs exclusive.
The company will likely not comment on the recent theatrical launch of "Melania." The documentary, which centers around the First Lady, outperformed expectations, but could be a loss for the company's entertainment segment.
Other key areas to watch include commentary on AI tools and growth from AI products. Whether job cuts factor into financial performance remain to be seen.
Why Amazon Results Matter
Amazon is considered one of the Magnificent Seven and included in the Dow Jones Industrial Average. That makes its financial results a key item to watch considering some indexes and ETFs could turn volatile.
Amazon is the fourth-largest holding in the Roundhill Magnificent Seven ETF (BATS:MAGS) at 14.73% of assets. The Seattle-based company was the worst performing Magnificent Seven stock in 2025 with a gain of 4.8%.
It’s also the fourth-largest holding in both the SPDR S&P 500 ETF Trust (NYSE:SPY), which tracks the S&P 500, and the Invesco QQQ Trust (NASDAQ:QQQ), which tracks the Nasdaq 100.
In the SPDR Dow Jones Industrial Average ETF (NYSE:DIA), Amazon is the 15th largest holding at 3% of assets.
Stock Price Action
Amazon stock is down 2.5% to $232.67 on Wednesday versus a 52-week trading range of $161.43 to $258.60. Amazon shares are up 2.7% year-to-date in 2026, but down 3.9% over the last 52 weeks.
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