Amazon stock (AMZN): what moves it, from AWS to shopping
Most people know Amazon as a store. But a big share of its profit comes from AWS, the cloud business, and that's often what moves the stock.
This page explains how the stock tends to move. It isn't a recommendation to buy or sell it.
At a glance
| Item | Amazon (AMZN) |
|---|---|
| What it is | Online shopping, Prime, the AWS cloud, an ad business, plus devices and streaming |
| Where it trades | Nasdaq, ticker AMZN |
| Indexes it's in | S&P 500, Nasdaq-100 and the Dow (since February 2024) |
| Earnings | 4 times a year, after the close, usually late April, late July, late October and early February |
| What moves it most | AWS growth, profit margins, ad sales, the holiday quarter, guidance |
| How it tends to move | Moderate most days, with big earnings-day moves |
| Regular hours | 9:30 am–4:00 pm ET, plus pre-market and after-hours sessions |
What the company does
Amazon has three engines. The store (plus third-party sellers and Prime) brings in the most sales.
AWS rents computing power to other companies. It's a smaller share of sales but a big share of profit. Ads, shown on Amazon's own pages, have grown into a third engine.
What moves it
- AWS growth. On earnings night, the cloud growth rate is often the first number traders look for. See Earnings report.
- Margins. How much of each sale Amazon keeps. Shipping costs and spending plans change this.
- The holiday quarter. October to December is the big shopping season. It's reported in early February.
- Prime Day. Usually in July. The stock may not react much, but it shows how shoppers are doing.
- AI and data center spending. Big spending plans can worry investors short term, and also move chip stocks like Nvidia.
- The consumer. Retail sales and jobs data hint at how much people will spend. See the retail sales report.
When it's busiest
- 9:30–10:30 am ET: the open.
- 3:00–4:00 pm ET: the close.
- Earnings night: after 4:00 pm ET. Amazon often reports on the same busy week as other big tech names, so the whole market can be jumpy.
US stock hours stay 9:30 am–4:00 pm ET all year. Pre-market and after-hours times depend on your broker.
Its personality
- Two stories at once. Shopping news and cloud news can pull the stock in different directions on the same day.
- Trends in stretches. It can drift sideways for long periods, then trend hard after a report.
- Earnings gaps. A good or bad AWS number can open the stock far from the close.
- Index weight. It's one of the biggest companies in the S&P 500, so it often moves with the market on Fed days.
Reading it with our method
Look at the daily chart first. Mark the last places price turned around. Is it trending, or stuck between two levels? A sideways range is its own kind of chart. See support and resistance.
On your entry chart, only a candle body closing past a level counts. A tail poking out of a range doesn't make a breakout.
Stop first, size second. Example: your stop is $4 away and your plan risks $100. That's $100 ÷ $4 = 25 shares. Use the position size calculator. A math example, not a promise. Losses are always possible.
Our free StructureX chart tool marks those turning points on TradingView, phone app included. Add it here.
Common mistakes
- Judging it by the store. Busy shopping seasons don't always mean a higher stock. The cloud and margins matter a lot.
- Holding big size into earnings week. Several mega-caps report close together. The whole market can swing.
- Calling a breakout on a tail. Wait for the body to close outside the range.
- Forgetting it's in the Dow now. Dow futures and Amazon can move together on big days.
Questions
When does Amazon report earnings?
Four times a year, after the US market closes, usually late April, late July, late October and early February. Check Amazon's investor site for exact dates.
Is Amazon in the Dow Jones?
Yes. Amazon joined the Dow Jones Industrial Average in February 2024, replacing Walgreens. It's also in the S&P 500 and the Nasdaq-100.
What is AWS?
Amazon Web Services. Companies rent servers, storage and AI tools from it instead of running their own. It's a big part of Amazon's profit.
Does Amazon pay a dividend?
No. Amazon has not paid a regular dividend. It puts its cash back into the business.
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