20260504-招银国际-AWS_growth_momentum_continues_to_build_7页_823kb

Amazon (AMZN US) Summary

Core Content and Key Highlights

Amazon reported its 1Q26 financial results, showing continued growth momentum across its business segments. The company's revenue reached US$181.5 billion, up 16.6% YoY (12.1% on a constant-currency basis), surpassing both the analyst forecast and the Bloomberg consensus. The total operating profit was US$23.9 billion, representing a 30% YoY increase, which was 12% to 15% above the forecast and consensus.

AWS, a key driver of Amazon's growth, saw its revenue increase by 28.4% YoY to US$37.6 billion, further accelerating its growth compared to 4Q25 (23.6%) and 1Q25 (16.9%). AWS's operating profit margin (OPM) was 37.7%, slightly lower than the previous year due to capital expenditures, but 3.8% ahead of the consensus. Management guided for AWS to maintain a strong growth trajectory with an expected 31% YoY revenue growth in 2Q26.

Business Segment Performance

• North America (NA) Business:

  • Revenue: US$104.1 billion, up 12.1% YoY, 2% above consensus
  • OPM: 9.0%, up 1.6% YoY, 1.3% ahead of consensus

• International Business:

  • Revenue: US$39.8 billion, up 18.7% YoY, 3% above consensus
  • OPM: 3.6%, up 0.6% YoY, 0.3% ahead of consensus

AI and Chip Business Developments

• Amazon's Chip Business (Graviton, Trainium, Nitro):

  • Achieved 40% QoQ revenue growth in 1Q26
  • Combined annual revenue run rate now exceeds US$20 billion, reflecting triple-digit YoY growth
  • Graviton has over US$225 billion in revenue commitments

• Rufus, the AI-powered shopping assistant:

  • MAUs grew by 115% YoY
  • Engagement increased by approximately 400% YoY

Financial Forecasts and Valuation

• Revised Revenue Forecasts for FY26E-FY28E:

  • Revenue: US$837.2 billion, US$960.8 billion, US$1,075.5 billion
  • Gross profit: US$428.9 billion, US$497.1 billion, US$561.8 billion
  • Operating profit: US$101.6 billion, US$133.0 billion, US$166.5 billion
  • Net profit: US$96.3 billion, US$105.9 billion, US$130.6 billion

• Valuation Adjustments:

  • Target price: US$305.00 (up from US$292.00)
  • Based on 17.6x EV/EBITDA (vs. 17.3x previously)
  • Current price: US$263.04
  • Up/downside: 16.0%

Analyst Ratings and Forecast

• Analyst Rating: BUY (maintained)
• Reasoning:
  • Strong demand and improving operating efficiency in AWS and core retail business
  • Expected 27% YoY operating profit growth in 2026E
  • The company's growth trajectory and performance are expected to be key drivers for stock price

Shareholding and Stock Data

• Market Cap: US$2.88 trillion
• Average 3-Month Trading Volume: US$7.39 billion
• 52-Week High/Low: US$263.99 / US$185.01
• Total Issued Shares: 10,959.7 million

Shareholding Structure

• Jeffrey P. Bezos: 8.3%
• The Vanguard Group, Inc.: 7.9%

Key Financial Metrics

Changes in Forecast and Valuation

Valuation Metrics

Summary of Key Points

• AWS Growth: Accelerated to 28.4% YoY in 1Q26, with expectations of 31% YoY growth in 2Q26
• Operating Profit: Increased 30% YoY to US$23.9 billion, with 27% YoY growth expected for 2026
• Financial Metrics: Continued margin expansion in both NA and international businesses
• Valuation: Target price raised to US$305.00, reflecting improved EV/EBITDA multiple
• Analyst Outlook: Maintain BUY rating due to strong growth prospects and improved operating efficiency
• AI Initiatives: Strong growth in AI-related applications and chip business, with Rufus showing significant user engagement increases