Amazon reported booming cloud revenue but otherwise missed expectations

Amazon reported a negative free cash flow of $2.4 billion in Q3, despite beating expectations for its cloud unit AWS, which grew 39% YoY. The company's investments in AI drove the spending, with forecasted capital expenditures of $220 billion for the year, nearly matching expected Q4 sales of $240-247 billion. This means Amazon will spend almost as much on capital expenditures as it expects to generate from sales in the fourth quarter.