Amazon (AMZN) Q2 Showdown: Time to Load Up, Cash Out, or Ride the Wave?

Amazon’s stock is either a coiled spring or a ticking time bomb—depending on which Wall Street hype machine you believe. Here’s the unvarnished take.

The Bull Case: Cloud Kingpin Flexes Muscle

AWS growth is back on track, retail margins are squeezing higher, and that ad business keeps printing money. Forget ’buy the dip’—this might be ’buy before the melt-up.’

The Bear Trap: Regulatory Target on Its Back

FTC lawsuits loom like storm clouds, while retail margins could evaporate if consumer spending stumbles. That 80 P/E ratio isn’t exactly screaming ’value play.’

Wildcard: Bezos’ Stock Sales = Insider Tell?

The founder’s been dumping shares like a tourist ditching souvenir pennies. Either he knows something—or this is just another billionaire tax dodge (because loopholes are *so* innovative).

Verdict? Hold—but keep one finger hovering over the sell button. In this market, even ’safe’ tech giants can turn into meme stocks overnight.

Amazon in Q2: Should You Buy, Sell, or Hold?

The US stock market got an important boost on Monday with the announcement of a new US-China tariff deal. The agreement will see both sides pause their reciprocal import duty increases and give hope for a future trade deal. In response, the S&P 500 reached a two-month high, while the Dow Jones Index jumped more than 1,000 points.

That makes an increasingly complicated situation a little more complicated, even despite the apparent clarity. Tariffs have been the great bane of 2025, while the stopping and starting and increasing and pausing have only made that more uncertain. When it comes to that context regarding Amazon (AMZN) stock, should you buy, sell, or hold in Q2?

The e-commerce firm recently reported Q1 earnings that were rather impressive. The most important point of note was that revenue jumped 10% to reach the $155.7 billion mark. Moreover, its operating income hit 11.8%, up from 2024’s 10.7%.

These financials were important as the tariffs loomed large. However, it still has impressive Amazon Web Services (AWS) and AI development marks that make it all the more attractive. In a recent report, Morningstar projected Q2 guidance of $159 billion to $164 billion, with operating income reaching between $13 billion and $17.5 billion.

The firm also has a 4-star rating, noting that the stock is currently undervalued in relation to its long-term fair value figure of $240 a share. Therefore, Q2 seems like a good time to buy. The stock jumped 7% on Monday, trading at $207, and still sports a bullish projection at the $290 mark, up 39% from its current position.