* Reports Thursday, October 25, after the market close

* Revenue Expectation: $57.11B

* EPS: $3.08

The only thing that would surprise markets when Amazon (NASDAQ: ) reports Q3 2018 results later today is if the e-commerce giant doesn't release another blockbuster , crushing analyst expectations yet again. The world’s second most valuable company by market cap has an unrivaled global e-commerce platform, its cloud computing business is booming and it’s on the cusp of disrupting a variety of traditional businesses, including bricks-and-mortar grocery and drug store chains.

Revenue Generating Machine, Well Oiled For Future Growth

Currently, Amazon is a massive revenue-generating machine, one that's well oiled for future growth. This gives investors powerful incentive to stick with its shares.

For the year, Amazon is forecast to generate $234 billion in revenue, making it the US's fifth largest company by revenue, behind Walmart (NYSE: ), ExxonMobil (NYSE: ), Apple (NASDAQ: ), and Berkshire Hathaway (NYSE: ).

As well, after years of high-octane growth, Amazon’s profit margins are swelling. Through the first half of the year, earnings per share grew more than fourfold from $1.87 to $8.34. This expanding profitability is welcome news for investors who have long been waiting for the company to turn a profit.

With Amazon now expanding into the high margin cloud computing arena as well as into digital advertising, profit margins are only going to get bigger. Its $119 annual Prime subscription package has become a reliable cash cow. Right now the company has more than 100 million members around the world who pay this fee to get fast shipping, video and music streaming and digital photo storage.

AMZN Weekly 2015-2018

With such extremely bullish fundamentals as a backdrop, we believe the nearly 19% pullback of Amazon shares—now trading at $1,664 as of yesterday's close, down from the stock's $2050.5 peak in early September—offer a terrific opportunity to any investors waiting on the sidelines for a more favorable entry point. Though its price-to-earnings multiple of 151.15, one of the market's highest, makes some investors nervous, given the company's revenue diversification, its track record of operational execution and wide economic moats, these rich valuations are justified.

For the third quarter, Amazon is expected to report earnings of $3.08 per share, including Whole Foods Market (NASDAQ: ), according to the FactSet consensus, up from $0.52 cents per share last year. Sales are likely to surge to $57.11 billion, up from 43.74 billion in the same period a year ago.

Bottom Line

With it growing so quickly, even as it continues to enter so many lucrative business lines, there’s simply no perfect way to value Amazon. But it is clear that the variety of enterprises into which it has been expanding will continue to propel growth.

Amazon is on track to capture nearly half of all online spending in the US this year, according to EMarketer. In addition, Amazon Web Services, its cloud computing division, is the premier service in its field, capturing $17.5 billion in sales last year in a market estimated to expand to $83.5 billion by 2021.

This leadership position makes Amazon a perfect buy-on-the-dip stock as well as one to hold for years to come.