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📊 Amazon Q2 Earnings: Ignore the Headline EPS—Watch Free Cash Flow. Amazon reports Q2 earnings on July 30, and the most important number may not be revenue or earnings per share. In Q1, Amazon reported $30.25B in net income and $2.78 EPS, but roughly $16.8B came from a one-time gain related to its investment in Anthropic. That isn't recurring operating performance from AWS, retail, or advertising. The real story is cash generation. 💰 Operating Cash Flow (TTM): $148.5B (+30% YoY) ⚠️ Free Cash Flow: Fell from $25.9B to $1.2B YoY The primary reason? Massive AI infrastructure investment. Property and equipment spending surged to $59.3B as Amazon continued building data centers, expanding chip capacity, and investing in AI infrastructure. For Q2, the key question isn't whether Amazon is spending. It's whether that spending is beginning to translate into stronger AWS growth and productive assets—or whether it continues to weigh on free cash flow. Beyond AWS, keep an eye on the broader business mix. In Q1, operating income totaled $23.85B, including: • AWS: $14.16B • North America Retail: $8.27B • International: $1.42B Fulfillment efficiency, Prime Day performance, advertising growth, and operating margins will all be important. 📌 Post-earnings checklist: • Review the cash flow statement first. • Compare Operating Cash Flow with Capital Expenditures to calculate Free Cash Flow. • Separate one-time investment gains from core operating earnings to evaluate the underlying business. #CXMTDebutShockwave #FOMCRateWatch #AIEarningsWatch $BTC $ETH $AEON