Amazon Stock Is Delivering Gains Today: What's Going On?

Amazon.com Inc AMZN shares are trading higher Wednesday in sympathy with Microsoft Corp MSFT and Alphabet Inc GOOG, which reported increases in cloud revenue. 

What Happened: Microsoft said Intelligent Cloud revenue was up 16% year-over-year. Server products and cloud services revenue increased 17% driven by Azure and other cloud services revenue growth of 27% year-over-year. 

Alphabet reported Cloud revenue of $7.5 billion in the first quarter, which was up from $5.8 billion year-over-year. 

"We are pleased with our business performance in the first quarter, with Search performing well and momentum in Cloud," said Sundar Pichai, CEO of Alphabet. 

See Also: Alphabet Q1 Earnings Highlights: Revenue And EPS Beat, Strong Cloud Growth, AI Update And More

Amazon has significant exposure to cloud through its Amazon Web Services business. Last quarter, AWS generated $21.4 billion in revenue, up 20% on a year-over-year basis.

AWS was also responsible for Amazon's positive operating income in the quarter. AWS generated $5.2 billion in operating income, while total operating income was just $2.7 billion.

Amazon will report first-quarter results after the market close on Thursday. The company is expected to report first-quarter earnings of 21 cents per share on quarterly revenue of $124.53 billion, according to Benzinga Pro.

AMZN Price Action: Amazon shares were up 2.81% at $105.45 at time of publication, according to Benzinga Pro.

Photo: courtesy of Amazon.