Amazon Q1 2026 Earnings: AWS and Advertising Drove the Beat, but EPS Quality Was Mixed
Amazon delivered a strong Q1 2026 earnings report, and the cleanest way to read it is this: the operating business beat expectations in exactly the places investors care most about right now. Revenue came in above expectations. AWS re-accelerated meaningfully. Advertising kept growing like a second high-margin engine. Retail profitability also improved. The one major caveat is that the headline EPS beat looked better than the underlying operating story because net income was boosted by a large Anthropic-related non-operating gain. ...