AMZN/AWS Cloud — Scenario Model
Blue = input assumption|Black = computed

AWS Cloud — Scenario Model

Current Price
$205
AWS Cloud Component
$120/sh
Market Implies
71% chance of upside scenarios
14% collapse probability

Scenario Overview

ScenarioEV$/shProbRevenueOperating Margin %FcfKey Gate
mega bull$2.3T$21241%
bull$1.2T$10716%
base$692B$6414%
bear$392B$3614%
collapse$143B$1314%

Full Year-by-Year Models

Blue = input · Black = computed · Click to expand

Market-Implied Probability Reconciliation

Given these scenario EVs, what probability weights would the market need to assign to produce the current market-implied value of $120/share?

ScenarioAWS Segment EVPer ShareImplied Prob.Weighted Contrib.
mega bull$2.3T$21240.8%$86
bull$1.2T$10716.2%$17
base$692B$6414.3%$9
bear$392B$3614.3%$5
collapse$143B$1314.3%$2
Total100%$120/sh

Note: These probabilities apply to AWS's contribution to Amazon equity. Retail, AI & Emerging, and net cash contribute separately.

Target contribution: $120/sh. Residual: $0.0/sh.

Assumption Sources

growthAnchorQ4 24% growth, $244B backlog +40% YoY [Amazon Q4 2025]
aiCatalystTrainium3 wins Anthropic, OpenAI, Apple. GenAI cloud +140-180% [Synergy]
marginPath35% → 40% via Trainium cost advantage + AI workload density
capexThesis$200B capex yields AI infrastructure dominance