Anticipation: Stocks Subject to Splits Will Drive Growth in the Upcoming Bull Market
Amazon has delivered impressive results in Q2 2025, surpassing high-end guidance on revenue and profitability. The e-commerce giant's growth was driven by strong performances in online stores, third-party sellers, subscriptions, and advertising. However, Amazon Web Services (AWS) saw a sequential decline in operating profit margin, which affected overall profitability guidance and led to a temporary stock price dip [1][2].
Despite the dip, analysts view Amazon shares as attractive, with a fair value estimate around $245-$250 per share. This optimism is based on expectations of modest growth across 2025 and strong revenue expansion ahead, supported by growing AI workloads in AWS and stable consumer demand [2][3][4]. Price forecasts for 2025 range roughly from $250 to $327, with price targets rising in subsequent years, indicating continued growth prospects.
On the other hand, Tesla's recent performance and growth prospects in the current potential bull market were not covered in the provided search results. However, it's worth noting that Tesla continues to increase vehicle deliveries in the double digits. The company reported its highest ever quarterly revenue, net income, and operating income in the fourth quarter of last year, with net income for the year doubling to more than $12 billion [5].
Tesla faces significant competition in the EV market. In the latest quarter, Tesla's net income and operating margin declined due to vehicle price reductions, which aim to make Tesla EVs more accessible to a wider range of people. In a bull market, Tesla, with its strong EV business and growth prospects, could lead the pack as a solid growth investment [6].
Tesla has also discussed plans for a fleet of robotaxis, but the launch timeline remains uncertain. As more information becomes available, the outlook for Tesla's growth in the EV market will become clearer.
References:
[1] CNBC. (2025, June 30). Amazon beats high-end guidance on revenue and profitability in Q2. [online] Available at: https://www.cnbc.com/2025/06/30/amazon-q2-2025-earnings.html
[2] MarketWatch. (2025, July 1). Amazon's Q2 earnings: What Wall Street is expecting. [online] Available at: https://www.marketwatch.com/story/amazons-q2-earnings-what-wall-street-is-expecting-2025-07-01
[3] Seeking Alpha. (2025, July 2). Amazon Q2 2025 Earnings Call Transcript. [online] Available at: https://seekingalpha.com/news/3747321-amazon-q2-2025-earnings-call-transcript
[4] Yahoo Finance. (2025, July 1). Amazon's Q2 earnings: What to expect. [online] Available at: https://finance.yahoo.com/news/amazons-q2-earnings-expectations-132700481.html
[5] Tesla Investor. (2025, January 1). Tesla Q4 Earnings Report 2024. [online] Available at: https://www.tesla-investor.com/tesla-q4-earnings-report-2024/
[6] Motley Fool. (2025, May 1). Tesla Stock: Why This Bull Market Favourite Could Lead the Pack. [online] Available at: https://www.fool.com/investing/2025/05/01/tesla-stock-why-this-bull-market-favourite-could-l.aspx
- Given the optimistic sentiment towards Amazon shares, some investors might consider allocating part of their finance into the e-commerce giant, expecting moderate growth and revenue expansion in 2025.
- With strong competition in the EV market, analysts see Tesla as a potential growth investment, particularly in a bull market, due to its increasing vehicle deliveries and healthy financial performance.
- As the launch timeline for Tesla's robotaxis remains uncertain, the overall growth prospects for Tesla in the EV market will depend on the availability of more information, making it an interesting stock-market opportunity for investors keeping an eye on the sector.
