Guangda Securities: Amazon's (AMZN.US) third quarter accelerated growth of AWS, AI e-commerce brings revenue increment.

According to the Wise Finance APP, Guotai Junan Securities released a research report stating that after the market closed on October 30th Eastern Time, Amazon (AMZN.US) released its third quarter earnings report. As of 8:00 Beijing time on October 31, Amazon's stock price rose 13.16% after market close. Considering the easing of data center capacity constraints, accelerated revenue growth exceeding expectations in AWS, incremental performance brought by internal circulation advertising and AI shopping assistants, the revenue forecast for 2025-2027 was raised to $701 billion/$777 billion/$861.1 billion (compared to the previous forecast +1.0%/+1.4%/+0.5%). Considering the stable base of the e-commerce business and the scale effect of the previous delivery network construction becoming apparent, driving profit release, the net profit forecast for 2025-2027 was raised to $67 billion/$831 billion/$1017 billion (compared to the previous forecast +1.3%/+1.1%/+0.7%), with the current price corresponding to PE 35x/28x/23x. The "buy" rating is maintained.