11:23 AM EST, 02/04/2025 (MT Newswires) -- Amazon.com ( AMZN ) is expected to report "strong" Q4 results with increasing artificial intelligence contribution from its Amazon Web Services cloud-computing business, BofA Securities said Tuesday.

The e-commerce giant is scheduled to report Q4 results Thursday. BofA expects earnings of $1.53 per share on revenue of $187.24 billion. Wall Street is looking for $1.47 and $187.31 billion, respectively, according to BofA.

"Q4 retail data was constructive for revenues, and for cloud, we think AWS can meet expectations for 19-20% growth on a growing AI contribution," BofA analyst Justin Post said in a note to clients.

The bank expects Q1 sales guidance of $152.25 billion to $158.25 billion, versus market expectations for $158.7 billion, according to the note.

"Investors may already be expecting upside to AWS and retail margins, but we think Amazon's ( AMZN ) strong relative profit growth and strong AI positioning via AWS should support the stock's multiple," Post said.

BofA maintained its buy rating on the stock, with a $255 price objective

Amazon ( AMZN ) shares were up by nearly 2% in recent trading.

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