Amazon CEO Andy Jassy at AWS re:Invent 2024 (Noah Berger/Getty Images)

Amazon soars as Q3 earnings, sales beat Wall Street expectations

AWS was the star of the show in Amazon’s results on Thursday.

10/30/25 3:07PM

Updated 10/31/25 4:31AM

Amazon shares soared after the company beat Wall Street’s expectations for third-quarter sales and profit, as revenue from its AWS business jumped.

The stock shot up 13% in recent after-hours trading, and has broadly held onto its gains in early trading on Friday.

The company posted $180.2 billion in sales for Q3, growing 13% from the same quarter a year earlier and topping analysts’ expectations of $177.9 billion.

Earnings per share came in at $1.95, blowing past analysts’ estimate of $1.57, as compiled by FactSet.

Amazon’s AWS cloud business saw revenue jump 20% year on year to $33 billion, powered by huge demand for AI. The Street was expecting $32.5 billion. Last week, a major AWS outage disrupted websites and platforms around the world, including Snapchat, Reddit, Roblox, and Venmo.

The company’s capital expenditure — a number that’s been watched closely in recent quarters as tech giants spend vast sums of money to build the infrastructure to power AI — totaled $35.1 billion, blowing past analysts’ forecasts of $31.9 billion and topping second-quarter spending of $32.18 billion.

Amazon gave guidance for fourth-quarter sales between $206 billion and $213 billion, compared with estimates of $208.4 billion. Operating income was forecast at $21 billion to $26 billion, topping Wall Street’s expectation of $19.73 billion.

Some highlights for the quarter:

Amazon added 3.8 gigawatts of computing capacity, an amount the company says is larger than any other cloud provider.
The company opened Project Rainier, its massive AI data center containing 500,000 of its custom Trainium2 chips.
Amazon said Trainium2 is a “fully subscribed” multibillion-dollar business that’s grown 150% since the second quarter.
Advertising revenue was $17.7 billion, up 24% year on year.
Subscription revenue (Amazon Prime, audiobooks, etc.) was up 11% year on year, at $12.6 billion for the quarter.

Amazon CEO Andy Jassy said:

“AWS is growing at a pace we haven’t seen since 2022, re-accelerating to 20.2% YoY. We continue to see strong demand in AI and core infrastructure, and we’ve been focused on accelerating capacity — adding more than 3.8 gigawatts in the past 12 months.”

On Wednesday, Amazon announced it would reduce its corporate workforce by a net 14,000 employees, after Reuters reported the number of roles reduced company-wide could reach 30,000. The cuts follow a report from The New York Times that reveled internal Amazon documents that show a desire to automate of up to 75% of its operations.

Matt Phillips2h

Corning-Meta deal reignites optical connections trade

Corning’s $6 billion deal with Meta to provide fiber-optic cable connections for its AI data centers is reigniting an AI-related trade that’s been stalled out over the last month.

Fellow opto-electrical makers of plugs, cables, and various doodads needed to connect data center servers — such as Amphenol, Coherent , and Lumentum — are also soaring Tuesday.

Such stocks ripped in the second half of 2025 before the rally sputtered out in the first half of December. But the amount of money Meta plans to shower on Corning has clearly cheered up competitors — and investors — in the space today.

Corning soars after striking deal to sell up to $6 billion in optical infrastructure to Meta

Luke Kawa5h

Richtech Robotics soars after announcing partnership with Microsoft to use AI to improve its robots

Shares Richtech Robotics are surging in premarket trading after the company announced “a hands-on collaboration with Microsoft through the Microsoft AI Co-Innovation Labs to jointly develop and deploy agentic artificial intelligence capabilities in real-world robotic systems.”

Per the press release, the two companies worked together to imbue Richtech’s flagship ADAM robot with “additional layers of context awareness” to “support smoother workflows and more responsive customer interactions in retail environments.”

Apropos of nothing, here’s an ADAM robot serving Nvidia CEO Jensen Huang a margarita:

Richtech was one of many robotics and vaguely robotics companies that caught a massive bid in early December after Politico reported that the Commerce Department was poised to go “all in” to support the industry. To date, there's been no evidence of such a plan, but that hasn’t stopped robotics stocks from having a phenomenal start to 2026. The Themes Humanoid Robotics ETF, which counts Richtech as one of its members, gained nearly 50% year-to-date through Thursday’s close, though it has since come off the boil.

Max Knoblauch6h

Boeing posts its second straight quarter of positive free cash flow, revenue beats estimates

Boeing reported its fourth-quarter and full-year earnings before the market opened on Tuesday.

Boeing posted adjusted earnings of $9.92 per share, compared to the $0.44 loss per share expected by Wall Street analysts polled by FactSet. Those earnings, however, aren’t comparable to estimates because they reflect a massive gain from the close of Boeing’s sale of its digital aviation assets, which the company said boosted overall earnings by $11.83 per share.

The plane maker generated $375 million in free cash flow, its second straight quarter of positive FCF following six consecutive quarters of negative results. Wall Street expected $207 million.

Boeing last year saw significant recovery from its bleak 2024, improving its commercial deliveries by 72%. The company logged nearly 1,200 plane orders in 2025, outselling European rival Airbus for the first time since 2018. Boeing’s revenue climbed 57% in the fourth quarter to $23.95 billion, beating estimates of $22.6 billion. Its total backlog grew to $682 billion.

In October, US regulators approved an increase to the monthly cap on 737 production from 38 to 42 planes.

Luke Kawa

D-Wave Quantum jumps on $20 million system sale, deal with Davidson and Anduril for US air and missile defense

D-Wave’s CEO had previously lamented feeling left out in the cold by the US government. Today’s announcements may give it a foothold.

Julich Research Center Inaugurates Europe's First 5,000+ Qubit Quantum Computer

Max Knoblauch6h

American Airlines gives upbeat full-year guidance, lifting shares

American Airlines gave a rosy projection for full-year earnings that has the stock taking to the skies on Tuesday.

For the full year, American forecast adjusted earnings of between $1.70 and $2.70 per share, putting the midpoint of $2.20 significantly higher than analysts’ consensus estimate of $1.97 per share. The carrier also guided for more than $2 billion in free cash flow in 2026, more than double Wall Street’s expectations.

American shares are up about 3.2% in premarket trading as of 7:35 a.m. ET, after the release of its fourth-quarter and full-year earnings reports, which included the guidance.

The airline’s earnings for the quarter missed Wall Street’s expectations, with adjusted earnings of $0.16 per share. Analysts polled by FactSet expected $0.37 per share.

American, the third of the big four US airlines to cap off its 2025 fiscal year, said it expects a loss of between $0.10 and $0.50 per share in the first quarter of 2026. Analysts expected a loss of $0.29 per share.

Passenger revenue reached $12.66 billion in Q4, up 2.1% from last year but below estimates of $12.72 billion. American produced an adjusted operating margin of 3.5% in the quarter, compared to 8.4% in the same quarter a year ago.

American also announced a $325 million hit to its revenue from the government shutdown.

And it said the winter storm that has caused widespread cancellations this week will negatively impact revenue by between $150 million and $200 million.