Amazon Soars Past $3 Trillion as Q2 Results Exceed Expectations

Amazon's latest quarterly results have sent the stock soaring past $3 trillion in market value. The company's Q2 revenue hit $200 billion for the first time, a 20% year-over-year increase, with operating income up 43% to $27.5 billion.

AWS, Amazon's cloud computing division, was a major driver of growth, with revenue up 37% to $42.2 billion and an AWS backlog of $496 billion. Advertising revenue also rose 26% to $19.8 billion.

However, some analysts are cautioning that the market may be overestimating Amazon's future prospects. The company's forward price-to-earnings (P/E) ratio is around 28, roughly in line with Alphabet despite faster growth in both the cloud business and advertising division.