Amazon (NASDAQ: AMZN) stock has risen 27% since the beginning of the year, significantly outperforming the market. Investors are enthusiastic about the company’s prospects in artificial intelligence (AI), but that’s only part of the Amazon story. In the first quarter, the company showed excellent results, increasing sales by 13% compared to the previous year and tripling operating income to $15.3 billion. Earnings per share (EPS) were $0.98, exceeding Wall Street’s expectations.

Amazon is actively investing in AI. It allocated $230 million to an accelerator for AI-based startups, awarding $1 million to the top 80 candidates using generative AI to solve complex challenges. The company also invested in EvolutionaryScale, a firm using AI and machine learning to create revolutionary pharmaceutical products. These steps demonstrate how Amazon aims to capitalize on changes brought by generative AI.

The company forecasts sales growth of 7-11% in the second quarter and an increase in operating income from $7.7 billion to about $12 billion. The average Wall Street consensus for EPS in 2024 is $4.55, representing a 57% increase compared to last year. If Amazon meets or exceeds these expectations, its stock could rise again. With its significant assets, strong positions in several business areas, and ongoing growth drivers, Amazon is well-positioned for continued success.