Amazon Q2 Earnings Surpass Expectations as AWS Growth Highlights Cloud Sector Strength

Amazon delivered a robust second-quarter performance, exceeding Wall Street forecasts with earnings per share of $1.68 against an expected $1.33. Revenue climbed to $167.7 billion, surpassing the $162.1 billion consensus. The company's cloud division, AWS, posted $30.8 billion in revenue, slightly above estimates, reflecting sustained enterprise demand for cloud infrastructure.

Tech giants continue to dominate earnings season, with Microsoft's Azure reaching $75 billion in fiscal 2025 and Alphabet reporting a 32% surge in cloud revenue. This trifecta of results underscores the accelerating enterprise adoption of AI-driven cloud services—a tailwind for blockchain infrastructure projects and decentralized compute networks.

Despite the earnings beat, Amazon shares dipped 1%, mirroring the market's tempered reaction to Big Tech results this cycle. The divergence between fundamental performance and stock price action suggests investors may be reevaluating growth multiples amid rising Treasury yields.