Bull of the Day: Amazon (AMZN)
AMZN stock has seen a sharp rebound in the last three months, surging more than +20% to help lead the unprecedented recovery among the broader indexes.
That said, with tariff uncertainty starting to become somewhat benign in regard to affecting the stock market, Amazon stock looks poised to keep soaring ahead of its Q2 results on Thursday, July 31.
Keeping this in mind, let's take a look at Amazon's Q2 growth expectations and a few catalysts that could keep lifting AMZN shares from here.
Amazon's Q2 Expectations & The Zacks ESP
As a brief preview, Amazon's Q2 sales are thought to have increased 9% to $162.28 billion compared to $147.98 billion a year ago. On the bottom line, Amazon's Q2 earnings are expected to be up 8% to $1.33 per share from EPS of $1.23 in the prior period. Notably, Amazon has exceeded the Zacks EPS Consensus for 10 consecutive quarters with a very impressive average earnings surprise of 20.68% in its last four quarterly reports.
More intriguing, the Zacks ESP (Expected Surprise Prediction) indicates Amazon could keep this compelling streak of beating earnings expectations going with the Most Accurate and recent estimate among Wall Street analysts having Q2 EPS pegged at $1.42 and 7% above the underlying Zacks Consensus (Current Qtr below).
Amazon 'Prime Week' Takes Off
As reason to believe Amazon could offer very favorable guidance for Q3, the e-commerce giant's Prime Day event has been stretched to four days (July 8-11) and recently shattered previous records. Being Amazon's largest sales event on record, U.S. online sales for what could now be deemed as "Prime Week" are thought to have hit $24.1 billion.
It's noteworthy that AI-driven advertising was a large contributer. To that point, Adobe Analytics reported a 3,300% surge in AI-driven traffic during "Prime Week" after analyzing over a trillion visits to retail sites. This mind-blowing spike refers to traffic generated from generative AI tools like Amazon's AI-powered shopping assistant 'Rufus' and its revamped next-generation voice assistant 'Alexa+'.
Key Points of Amazon's AI Expansion
In the grand scheme of things, Amazon is focused on using AI to supercharge its cloud division, Amazon Web Services (AWS), which is still the largest cloud service ahead of Microsoft's
MSFT Azure and Alphabet's
GOOGL Google Cloud.
1. Nova models: Amazon's proprietary generative and agentic AI models, integrated across Alexa+, shopping (Rufus), and AWS services.
2. Custom AI chips: Continued development of its own custom AI chips, including the Trainium 2 and the upcoming Trainium 3, designed to outperform traditional GPUs in cost and efficiency.
3. Amazon Bedrock: A marketplace for foundational large language models (LLMs) from leaders like Anthropic, Meta Platforms
META, Mistral, and others, allowing developers to build AI apps without managing infrastructure.
4. Data Center Buildouts & Sustainability Push: New AI-ready data centers in Pennsylvania and North Carolina that are collocated with nuclear power facilities to complement investments in small modular reactors (SMRs) that power AI workloads with carbon-free electricity.
Amazon's EPS Growth & Revisions
Correlating with the rebound in Amazon stock, EPS revisions have continued to trend higher in the last 60 days for fiscal 2025 and FY26. Amazon's annual earnings are now expected to increase 13% this year and are projected to spike another 16% in FY26 to $7.28 per share.
Image Source: Zacks Investment Research
Furthermore, following the pandemic, FY26 EPS projections would reflect 248% growth with Amazon's post-split adjusted earnings being the equivalent of $2.09 a share in 2020. (Amazon did a 20-1 Stock Split in June of 2022).
Conclusion & Final Thoughts
As a reminder that Amazon's stock previously traded over $2000 a share before its most recent stock split, now appears to be an ideal time to buy AMZN before it gets more expensive.
At the moment, the Average Zacks Price Target for Amazon stock is $254, suggesting 10% upside from current levels. However, it would be no surprise if this consensus price target is eventually lifted toward $300 or higher, considering the tech giant's businesses are starting to be streamlined by AI.
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CAUTIONARY STATEMENT ABOUT FORWARD-LOOKING STATEMENTS This press release and the accompanying conference call may contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act") and "forward-looking information" under Canadian securities laws (collectively, "forward-looking statements"). Our forward-looking statements include, but are not limited to, statements regarding our or our management team's expectations, hopes, beliefs, intentions or strategies regarding the future. Statements that are not historical facts, including statements about Galaxy's business plans and goals, including with respect to the lease with CoreWeave, and the parties, perspectives and expectations, are forward-looking statements. In addition, any statements that refer to estimates, projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "forecast," "intend," "may," "might," "plan," "possible," "potential," "predict," "project," "should," "would" and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. The forward-looking statements contained in this document are based on our current expectations and beliefs concerning future developments and their potential effects on us taking into account information currently available to us. There can be no assurance that future developments affecting us will be those that we have anticipated. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond our control) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. 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Factors that could cause actual results to differ materially from those described in such forward-looking statements include, but are not limited to, financing and construction terms and conditions, a decline in the digital asset market or general economic conditions; the possibility that our addressable market is smaller than we have anticipated and/or that we may not gain share of the stated addressable market; the failure or delay in the adoption of digital assets and the blockchain ecosystem; a delay or failure in developing infrastructure for our business or our businesses achieving our mandates; delays or other challenges in the mining and AI/HPC infrastructure business related to hosting, power or construction; any challenges faced with respect to exploits, considerations with respect to liquidity and capital planning; and changes in applicable law or regulation and adverse regulatory developments. Should one or more of these risks or uncertainties materialize, they could cause our actual results to differ materially from the forward-looking statements. Except as required by law, we assume no obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, or to update the reasons if actual results differ materially from those anticipated in the forward-looking statements. You should not take any statement regarding past trends or activities as a representation that the trends or activities will continue in the future. Accordingly, you should not put undue reliance on these statements. This press release and our earnings call contain certain preliminary information about our performance in the third quarter of 2025. This information is preliminary and represents the most current information available to management. The Company's actual consolidated financial statements may differ materially as a result of the completion of normal quarterly accounting procedures and adjustments or due to other risks contained in our Quarterly Report on Form 10-Q for the quarter ended June 30, 2025. Although the Company believes the expectations reflected in this press release are based upon reasonable assumptions, the Company can give no assurance that actual results will not differ materially from these expectations. Non-GAAP Financial Measures In addition to our results determined in accordance with GAAP, this press release and the accompanying tables contain adjusted gross profit, adjusted EBITDA, and EBITDA margin, which are non-GAAP financial measures. Adjusted gross profit, adjusted EBITDA, and EBITDA margin are unaudited, presented as supplemental disclosure and should not be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. Please see pages 10 and 11 for a reconciliation of adjusted gross profit to revenues and gains / (losses) from operations (including for our individual segments) during the three months ended June 30, 2025 and 2024 and during the three months ended March 31, 2025 and of adjusted EBITDA to net income (loss) (including for our individual segments) during the three months ended June 30, 2025 and 2024 and during the three months ended March 31, 2025. It is important to note that the particular items we exclude from, or include in, adjusted gross profit, adjusted EBITDA, and EBITDA margin may differ from the items excluded from, or included in, similar non-GAAP financial measures used by other companies in the same industry. We also periodically review our non-GAAP financial measures and may revise these measures to reflect changes in our business or otherwise. We believe adjusted gross profit is a helpful non-GAAP financial measure to our management and investors because it eliminates the impact of the directly attributable transaction expenses. As such, it provides useful information about our financial performance, enhances the overall understanding of our past performance and future prospects, allows for greater transparency with respect to important metrics used by our management for financial, risk management and operational decision-making and provides an additional tool for investors to use to understand and compare our operating results across accounting periods. Adjusted EBITDA is a non-GAAP financial measure that is used by management, in addition to GAAP financial measures, to understand and compare our operating results across accounting periods, for risk management and operational decision-making. This non-GAAP measure provides investors with additional information in evaluating the Company's operating performance. Adjusted EBITDA represents Net income / (loss) excluding (i) equity based compensation, (ii) interest expense on structural debt, (iii) taxes, (iv) depreciation and amortization expense, (v) gains and losses on the embedded derivative on our exchangeable notes which ceased to exist upon consolidation as a result of the Reorganization Transactions, (vi) mining-related impairment loss / loss on disposal of mining equipment, (vii) other (income) / expense, net and (viii) and reorganization and reorganization merger costs. The above items are excluded from our Adjusted EBITDA because these items are non-cash in nature, or because the amount and timing of these items are unpredictable, are not driven by core results of operations, and render comparisons with prior periods and competitors less meaningful. EBITDA Margin is defined as EBITDA, divided by revenue minus pass through expenses for the same period. This non-GAAP financial measure is commonly used as an analytical indicator of performance by investors within the industries in which we operate. EBITDA margin is not a measure of financial performance under GAAP. Items excluded from EBITDA Margin are significant components in understanding and assessing financial performance. EBITDA Margin should not be considered in isolation or as an alternative to or a substitute for financial statement data presented in Galaxy's Digital's consolidated financial statements as indicators of financial performance or liquidity (which, in the case of EBITDA margin, is net income margin). Investors are cautioned that there are material limitations associated with the use of non-GAAP financial measures as an analytical tool. Galaxy Digital Inc.'s Consolidated Statements of Operations (unaudited) Three Months Ended Six Months Ended June 30, 2025 June 30, 2024 June 30, 2025 June 30, 2024 Revenues 8,661,555 8,882,891 21,637,761 18,218,263 Gains / (losses) from operations 395,094 (18,180) 274,763 474,871 Revenues and gains / (losses) from operations 9,056,649 8,864,711 21,912,524 18,693,134 Operating expenses: Transaction expenses 8,629,940 8,834,836 21,576,949 18,122,926 Impairment of digital assets 127,477 56,947 239,906 82,473 Compensation and benefits 64,969 61,253 121,922 122,324 General and administrative 19,241 22,267 105,816 41,952 Technology 11,598 7,356 21,485 13,848 Professional fees 22,791 13,691 43,563 27,320 Notes interest expense 14,240 7,040 28,311 14,016 Total operating expenses 8,890,256 9,003,390 22,137,952 18,424,859 Other income / (expense): Unrealized gain / (loss) on notes payable - derivative (125,150) (2,573) (35,544) (12,286) Other income / (expense), net 918 1,612 1,590 1,825 Total other income / (expense) (124,232) (961) (33,954) (10,461) Net income / (loss) before taxes $ 42,161 $ (139,640) $ (259,382) $ 257,814 Income taxes expense / (benefit) 11,470 (14,044) 5,358 (4,717) Net income / (loss) $ 30,691 $ (125,596) $ (264,740) $ 262,531 Net income / (loss) attributed to: Class B Unit holders of GDH LP (19,255) (80,226) (204,745) 177,562 Noncontrolling interests 35,446 — 35,446 — Class A common stockholders of the Company (1) $ 14,500 $ (45,370) $ (95,441) $ 84,969 Net income / (loss) per Class A common stock (2) Basic $ 0.10 $ (0.37) $ (0.70) $ 0.73 Diluted $ 0.08 $ (0.37) $ (0.76) $ 0.65 Weighted average shares outstanding used to compute net income / (loss) per share (3) Basic 143,103,474 122,305,203 135,525,464 115,768,027 Diluted 371,717,071 338,212,221 349,390,820 129,910,597 (1) For periods prior to the Reorganization Transactions, represents net income / (loss) attributable to Class A Units of GDH LP. (2) For periods prior to the Reorganization Transactions, represents net income / (loss) per Class A Unit of GDH LP. (3) For periods prior to the Reorganization Transactions, represents weighted average Class A Units of GDH LP used to calculate net income / (loss) per unit. Ownership of GDH LP Limited Partnership Interests June 30, 2025 December 31, 2024 Ownership % interest Ownership % interest Galaxy Digital Inc. (1) 170,332,037 45.5 % — — % Noncontrolling interests (1) 203,885,332 54.5 % — — % Galaxy Digital Holdings Ltd (1) — — % 127,577,780 37.1 % Class B Unit Holders (1) — — % 215,862,343 62.9 % Total 374,217,369 100.0 % 343,440,123 100.0 % (1) As a result of the Reorganization Transactions, on May 13, 2025, Galaxy Digital Holdings Ltd. was acquired by Galaxy Digital Inc. and the Class B Unit Holders of GDH LP became noncontrolling interests of Galaxy Digital Inc. The change in relative ownership interests between December 31, 2024 and June 30, 2025 is primarily due to sale of shares by Galaxy Digital Inc. and conversion of Class B units during the period. The following table reconciles Revenues and gains / (losses) from operations to adjusted gross profit for the three months ended June 30, 2025 and March 31, 2025: Three Months Ended June 30, 2025 (in thousands) Digital Assets Data Centers Treasury and Corporate Total Revenues and gains / (losses) from operations $ 8,711,215 $ — $ 345,434 $ 9,056,649 Less: Transaction expenses 8,596,478 — 33,462 8,629,940 Less: Impairment of digital assets 43,307 — 84,170 127,477 Adjusted gross profit $ 71,430 $ — $ 227,802 $ 299,232 Three months ended March 31, 2025 (in thousands) Digital Assets Data Centers Treasury and Corporate Total Revenues and gains / (losses) from operations $ 13,063,899 $ — $ (208,024) $ 12,855,875 Less: Transaction expenses 12,920,860 — 26,150 12,947,010 Less: Impairment of digital assets 78,308 — 34,121 112,429 Adjusted gross profit $ 64,731 $ — $ (268,295) $ (203,564) Reconciliation of Adjusted EBITDA The following table reconciles the Company's adjusted EBITDA figures to net income for the three months ended June 30, 2025 and March 31, 2025: (in thousands) Digital Assets Data Centers Treasury and Corporate Three Months Ended June 30, 2025 Net income / (loss) $ (2,535) $ — $ 33,226 $ 30,691 Add back: Equity based compensation 11,826 — 6,957 18,783 Notes interest expense and other expense — — 12,042 12,042 Taxes — — 11,470 11,470 Depreciation and amortization expense 3,560 — 3,898 7,458 Unrealized (gain) / loss on notes payable – derivative — — 125,150 125,150 Mining related impairment loss / loss on disposal — — 15 15 Settlement expense — — 1,557 1,557 Other (income) / expense, net 112 — (918) (806) Reorganization and domestication costs — — 4,867 4,867 Adjusted EBITDA $ 12,963 $ — $ 198,264 $ 211,227 (in thousands) Digital Assets Data Centers Treasury and Corporate Three Months Ended March 31, 2025 Net income / (loss) $ 3,529 $ (2,899) $ (296,061) $ (295,431) Add back: Equity based compensation 5,942 471 3,601 10,014 Notes interest expense and other expense — — 16,269 16,269 Taxes — — (6,112) (6,112) Depreciation and amortization expense 3,555 1,251 7,807 12,613 Mining related impairment loss / loss on disposal — — 57,014 57,014 Unrealized (gain) / loss on notes payable – derivative — — (89,606) (89,606) Settlement expense — — 3,977 3,977 Other (income) / expense, net 12 — (672) (660) Reorganization and domestication costs — — 2,419 2,419 Adjusted EBITDA $ 13,038 $ (1,177) $ (301,364) $ (289,503) All figures are in U.S. Dollars unless otherwise noted. SOURCE Galaxy Digital Inc.
Cision Canada
19 minutes ago
- Cision Canada
5N Plus Inc. Scales Up and Expands Critical Materials Supply Agreement with First Solar Français
MONTREAL, Aug. 5, 2025 /CNW/ - 5N Plus Inc. (TSX: VNP) ("5N+" or "the Company"), a leading global producer of specialty semiconductors and performance materials, today announced that it has entered into a new and expanded supply agreement with First Solar, Inc. ("First Solar") (NASDAQ:FSLR) including revised terms to the contract period underway (2025-2026) to reflect increased semiconductor compound volume commitments, as well the terms for the subsequent contract period (2027-2028), also reflecting increased volumes. Under the new contract terms, 5N+ will increase its production and delivery of cadmium telluride (CdTe) by 33% for the 2025-2026 period compared to initial levels, and by an additional 25% for the subsequent term/2027-2028 period. These specialty semiconductors materials are used by First Solar for the manufacture of thin-film photovoltaic (PV) solar modules integrated to its semiconductor stack. In addition, starting in 2026, 5N+ will begin to produce and deliver Cadmium Selenide (CdSe) to First Solar, another critical material utilized in their PV solar panel manufacturing. This historic new agreement reflects the strength of 5N+'s longstanding collaboration with First Solar and supports their growing semiconductor supply needs as they scale their U.S. manufacturing capacity with a strategic focus on using critical materials sourced from American sources or allied nations. As the leading American solar power generation technology manufacturer, First Solar is well positioned to support economic growth, digital infrastructure expansion, and accelerating electrification in the United States, with advanced American-made technology. The company has four operating factories in Ohio and Alabama, and a fifth expected to begin commercial production in the second half of 2025. As First Solar ramps up its domestic production, it expects to achieve 14 gigawatts (GW) of American manufacturing capacity in 2026. "We are proud to help enable the growth in U.S. power generation by expanding our partnership with America's largest solar technology manufacturer," said Gervais Jacques, President and CEO of 5N+. "At a time when the security of critical materials supply chains are under intense scrutiny, we're pleased to reinforce our position as a trusted partner, with the expertise, supply chain and capacity to deliver the advanced materials this critical and growing sector depends on." "Our ability to meet this significant increase in volume with minimal additional investment is a direct result of our manufacturing flexibility and the recent expansion of our semiconductor compound production and recycling capabilities in Canada and Germany," added Mr. Jacques. "Access to secure critical materials supply chains supports our growth strategy, making 5N+ a valued long-time partner," said Mike Koralewski, Chief Supply Chain Officer, First Solar. "They have consistently demonstrated the ability to scale production capacity while maintaining the highest quality standards. Crucially, they continue to support our efforts to onshore production of critical minerals." About First Solar, Inc. First Solar, Inc. (Nasdaq: FSLR) is America's leading photovoltaic ("PV") solar technology and manufacturing company. The only US-headquartered company among the world's largest solar manufacturers, First Solar is focused on competitively and reliably enabling power generation needs with its advanced, uniquely American thin film PV technology. Developed at R&D labs in California and Ohio, the Company's technology represents the next generation of solar power generation, providing a competitive, high-performance, and responsibly produced alternative to conventional crystalline silicon PV modules. For more information, please visit About 5N+ 5N+ is a leading global producer of specialty semiconductors and performance materials. The Company's ultra‐pure materials often form the core element of its customers' products. These customers rely on 5N+'s products to enable performance and sustainability in their own products. 5N+ deploys a range of proprietary and proven technologies to develop and manufacture its products. The Company's products enable various applications in several key industries, including renewable energy, security, space, pharmaceutical, medical imaging and industrial. Headquartered in Montréal, Quebec, 5N+ operates R&D, manufacturing and commercial centers in strategically located facilities around the world including Europe, North America and Asia. Forward‐Looking Statements Certain statements in this press release may be forward‐looking within the meaning of applicable securities laws. Such forward‐looking statements are based on a number of estimates and assumptions that the Company believes are reasonable when made, including that 5N+ will be able to retain and hire key personnel and maintain relationships with customers, suppliers and other business partners, that 5N+ will continue to operate its business in the normal course, that 5N+ will be able to implement its growth strategy, that 5N+ will be able to successfully and timely complete the realization of its backlog, that 5N+ will not suffer any supply chain challenges or any material disruption in the supply of raw materials on competitive terms, that 5N+ will be able to generate new sales, produce, deliver, and sell its expected product volumes at the expected prices and control its costs, as well as other factors believed to be appropriate and reasonable in the circumstances. However, there can be no assurance that such estimates and assumptions will prove to be correct. These statements are not guarantees of future performance and involve assumptions, risks and uncertainties that are difficult to predict and may cause the Company's actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward‐looking statements. A description of the risks affecting the Company's business and activities appears under the heading "Risk and Uncertainties" of 5N+'s 2024 MD&A dated February 25, 2025 and note 10 of the unaudited condensed interim consolidated financial statements for the three-month and six-month periods ended June 30, 2025 and June 30, 2024 available on SEDAR+ at Forward‐looking statements can generally be identified by the use of terms such as "may", "should", "would", "believe", "expect", the negative of these terms, variations of them or any similar terms. No assurance can be given that any events anticipated by the forward‐looking statements in this press release will transpire or occur, or if any of them do so, what benefits that 5N+ will derive therefrom. In particular, no assurance can be given as to the future financial performance of 5N+. The forward‐looking statements contained in this press release is made as of the date hereof and the Company has no obligation to publicly update such forward‐looking information to reflect new information, subsequent or otherwise, unless required by applicable securities laws. The reader is warned against placing undue reliance on these forward‐looking statements. Forward-looking statements are presented in this press release for the purpose of assisting investors and others in understanding certain key elements of the Company's expected financial results, as well as the Company's objectives, strategic priorities and outlook, and in obtaining a better understanding of the Company's anticipated operating environment. Readers are cautioned that such information may not be appropriate for other purposes.
