Amazon and Roku defy market trends with record growth in 2025
Amazon and Roku have both reported strong financial performances in recent quarters. While Amazon's growth spans advertising, cloud services like iCloud, and AI-driven sales, Roku continues to dominate the streaming market with rising user engagement. Analysts highlight their consistent results as key reasons for investor interest.
Amazon's latest financial figures show a clear acceleration. Net sales grew by 13% in the past two quarters, up from the 9% to 12% range seen over the previous three years. The company's advertising revenue also surged by 22% year-over-year, marking three straight quarters of faster growth.
AWS, the cloud computing division, is expanding at its fastest rate in three years. It now contributes 22% of Amazon's net sales and a significant 66% of operating profit. Meanwhile, the AI-powered shopping assistant Rufus has gained traction, with interactions up by 210% this year. The chatbot, used by 250 million active customers, is projected to drive an additional $10 billion in annual sales for the company. Despite these strong results, Amazon's stock has remained nearly flat in 2025, rising just 0.6%.
Roku, on the other hand, has seen a 25% stock increase this year. The company leads the North American streaming TV market, with user hours on its platform climbing 14% year-over-year. Profitability has also exceeded expectations, beating analyst targets by at least 25% for five consecutive quarters. Roku anticipates extending its streak of double-digit revenue growth to 11 quarters and aims for a decade of annual double-digit expansion.
Amazon's growth in advertising, cloud services, and AI tools contrasts with its stagnant stock performance. Roku, meanwhile, maintains its dominance in streaming with steady revenue and user engagement gains. Both companies continue to attract analyst recommendations based on their strong market positions and financial momentum.
