Why did Bank of America raise its estimates for Amazon?

Due to expectations of accelerating AWS growth driven by AI demand and retail efficiency improvements.

Bank of America Raises Amazon Estimates Ahead of Q2 Earnings

Bank of America raised its revenue and profit estimates for Amazon ahead of Q2 earnings on July 30, citing faster-than-expected AWS acceleration.

July 22, 2026

1 min read

Source: Proactive

Key Numbers

revenue estimate

198.8B

operating profit estimate

24.1B

Amazon.com Inc (NASDAQ:AMZN) is set to report second-quarter earnings on July 30, and Bank of America is raising the bar ahead of the print, arguing AWS is accelerating faster than the Street expects.

Estimate Change

While the bank maintained its rating, it raised revenue and profit estimates. BofA now projects Q2 revenue of $198.8 billion and operating profit of $24.1 billion.

Analyst Rationale

Analysts believe AWS is the primary growth driver, with cloud demand accelerating due to AI. Efficiency improvements in retail also support profitability.

Context

The upbeat estimates follow Amazon's strong Q1 beat. Investors will closely watch AWS growth as a bellwether for the cloud sector.

What to Make of It

Amazon remains a compelling investment due to its e-commerce and cloud dominance, but investors should monitor rising competition in AWS and potential regulatory headwinds.

Frequently Asked Questions

Bank of America expects Q2 revenue of $198.8 billion and operating profit of $24.1 billion.

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This article was rewritten in Wrqti's editorial style based on information from the original source above. Content is informational only — not investment advice.