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Amazon.com’s operating income outlook below expectations, says Roth Capital

Roth Capital keeps a Buy rating and $215 price target on Amazon.com (AMZN) after its “solid” Q1 results but mixed Q2 outlook. Revenue guidance bracketed consensus, but operating income forecast was below expectations amid a seasonal uptick in stock-based compensation and a one-time spend on Kuiper Satellite launches, the analyst tells investors in a research note. AWS segment was also “inline-ish”, which is seen as a “modest disappointment” relative to Microsoft’s (MSFT) Azure outperformance, Roth adds.

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