Chart of Day: Amazon (AMZN)

Keep an eye on Amazon (NASDAQ: AMZN).

As it nears earnings, we do expect for the stock to push aggressively higher.

And while you can always invest in AMZN stock to make money, you can also invest in it and collect a weekly dividend. In fact, you can pick up the YieldMax AMZN Option Strategy ETF (AMZN), which generates income by writing and selling synthetic covered calls on the stock. With a high expense ratio 1.09%, it’s able to pay its investors a weekly yield.

For example, on October 16, it paid a yield of just over five cents per share. On October 9, it paid out just over five cents per share, and on October 2, it paid out just under five cents per share. Again, these have historically been paid out weekly.

What Wall Street Expects from AMZN.

Wall Street expects Amazon to deliver another quarter of higher sales, although earnings forecasts vary across data providers.

Right now, there are estimates of EPS of $1.96 per share on revenue of about $202.1 billion.

Management projected third-quarter revenue between $197 billion and $202 billion, or growth of 9% to 12%. It also forecast operating income between $22.5 billion and $26.5 billion, compared with $17.4 billion a year earlier.

Investors should also account for the timing of Prime Day. Amazon said that excluding the event’s impact in both years would make projected third-quarter sales growth nearly four percentage points higher. Simply comparing quarterly growth rates could therefore give an incomplete picture of demand.

AWS Has a High Bar to Clear

Amazon Web Services, the company’s cloud-computing division, will likely be central to the earnings reaction. In the second quarter, AWS revenue increased 37% to $42.2 billion, its fastest growth in 18 quarters. The division generated $16.6 billion in operating income, accounting for roughly 60% of Amazon’s total.

Those numbers explain why investors watch AWS so closely. Stronger cloud demand can have an outsized effect on Amazon’s overall profits. The question now is whether that momentum continued through September. Investors will be looking for evidence that customers are expanding their cloud workloads and spending more on AI services.

About Author

Ian Cooper

Ian Cooper has helped individual investors navigate financial markets, identify opportunities, and manage risk since 1999. He has taught thousands of investors to interpret market-moving news and investor psychology through a disciplined combination of technical and fundamental analysis.

His major market calls included calling the 2008 financial crisis months before it began, identifying risks in subprime and Alt-A mortgages, and warning of trouble at Lehman Brothers, Bear Stearns, and New Century Financial. He also forecast the Dow Jones Industrial Average’s decline toward 6,500 and its subsequent recovery, and projected gold’s rise above $1,500 an ounce when it traded below $600.

Today, Cooper draws on decades of experience to help investors make informed decisions and pursue long-term wealth creation. His approach emphasizes rigorous research, disciplined risk management, and an understanding of how fundamentals, price trends, and market sentiment influence investment opportunities.

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