A sum-of-the-parts (SOTP) valuation is the only honest approach to analyzing Amazon, which comprises three distinct businesses. AWS generated $37.6 billion in revenue in Q1, up 28% year over year, its fastest pace in 15 quarters, putting it on a $150 billion annualized revenue run rate. AWS operating income was $14.2 billion in Q1, with LTM operating income at $48.2 billion. AWS AI revenue is growing triple digits year over year, and its backlog stands at $364 billion, excluding a recently announced deal with Anthropic worth over $100 billion. AWS alone could command a valuation well above $1 trillion when benchmarked against Microsoft’s Azure and Alphabet’s Google Cloud Platform. Amazon Advertising is on a $72 billion LTM revenue run rate and should be valued against Meta and Alphabet. Amazon’s North America retail segment posted $104.1 billion in revenue in Q1. A blended earnings multiple on Amazon as a whole distorts all three segments.