Amazon’s Q3 Earnings Anticipate 6.74% Volatility as AI Investments Scrutinized
Amazon's third-quarter earnings report, due October 30, is expected to trigger significant market volatility. Options traders are pricing in a 6.74% swing—a stark contrast to the company’s historical post-earnings average decline of 0.75%. The heightened implied MOVE reflects investor focus on Amazon’s cloud division, AWS, and its aggressive $75 billion AI infrastructure push.
Advertising revenue, which buoyed Q2 results, remains a key metric alongside retail margin pressures. The report follows mixed cloud performance from Microsoft, Alphabet, and Meta, amplifying scrutiny on Amazon’s ability to monetize AI investments amid slowing cloud growth.