Amazon (AMZN) / Jeff Bezos 02 (Nov 18 - Dec 26)

[winston]

not vested

Amazon - Stock Analyst Research
Target Price* US 280.00
Recommendation ACCUMULATE

Amazon.com Inc. - Custom silicon a structural advantage

1Q26 revenue was in line with expectations, while 1Q26 Adjusted PATMI underperformed due to higher tax expense.

1Q26 Revenue/Adjusted PATMI were at 23%/18% of our FY26e forecasts.

The revenue growth is mainly pushed by AWS (+28% YoY), the fastest growth in 15 quarters and advertising (+24% YoY).

AMZN’s guidance for CAPEX spend in FY26e remains unchanged at US$200bn. Normalised PATMI was flat YoY due to higher tax expense.

We downgrade our recommendation from BUY to ACCUMULATE due to recent stock price movement, with an unchanged target price of US$280.

Our estimates remain unchanged, with a WACC of 5.6% and a terminal growth rate of 5%.

We think Amazon is well-positioned in AI, leveraging its full-stack capabilities, including custom chips (Trainium and Graviton), partnerships with OpenAI and Anthropic, and a unique dataset to drive ecosystem stickiness and capture long-term growth.

Source: Phillips

https://www.poems.com.sg/stock-research/AMZN/

[winston]

not vested

Amazon.com, Inc. (AMZN.US) Opens Supply Chain Network; United Parcel Service, Inc. (UPS.US) and FedEx Corporation (FDX.US) Shares Plunge

According to foreign media reports, Amazon.com, Inc. (AMZN.US) has opened its supply chain network to other enterprises, a move that will place it in direct competition with United Parcel Service, Inc. (UPS.US) and FedEx Corporation (FDX.US).

The company has launched Amazon Supply Chain Services, allowing companies across industries including retail, healthcare and manufacturing to utilize its supply chain, storage and delivery capabilities for goods ranging from raw materials to finished products.

Procter & Gamble Company (The) (PG.US), 3M Company (MMM.US) and American Eagle Outfitters, Inc. (AEO.US) have already signed up for its supply chain services.

Amazon operates a fleet of more than 100 cargo aircraft, along with an extensive network of warehouses and distribution centers, potentially positioning it as a major player in the logistics industry and intensifying competition in pricing and delivery speed.

Shares of United Parcel Service and FedEx fell 10.5% and 9.1%, respectively, overnight.

Related News: CMBI Raises Amazon.com, Inc. (AMZN.US) TP to USD305 as AWS Growth Momentum Strengthens

Source: AASTOCKS Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

Just How Big a Problem Could Amazon’s Cash Burn Rate Be?

By Sam Quirke

Key Points

Amazon is burning $6 billion a month as it goes all in on the AI opportunity.

Based on recent price action, the market is increasingly accepting that this level of cash burn is no longer reckless, but strategic.

With AWS growth reaccelerating and analysts as bullish as ever, the risk/reward setup remains attractive despite overbought technicals.

Source: Market Beat

[winston]

not vested

7 Reasons to Buy Amazon Stock Right Now

by Jennifer Saibil

1. Triple-digit growth in AI
2. Triple-digit growth in chips business
3. Accelerating growth in AWS
4. Double-digit growth in e-commerce
5. Faster delivery speeds
6. Strong ad sales
7. Progress in Amazon Leo

Source: The Motley Fool

https://finance.yahoo.com/markets/stock ... 00166.html

[winston]

not vested

<Research> CICC: Amazon.com, Inc. (AMZN.US) Trainium Chip Series Continues to Win Customers, Growth Outlook Positive

CICC published a report stating that on May 19, The Information reported that Amazon.com, Inc. (AMZN.US) Trainium has begun attracting smaller-scale AI developers, following earlier announcements by Anthropic and OpenAI on deploying Trainium.

The broker believes that Amazon's Trainium chip series continues to gain customers, with promising growth prospects.

In February, OpenAI announced that it had secured 2GW of Trainium computing capacity through AWS, covering generations including Trainium3 and the next-generation Trainium4.

In April, Anthropic committed to spending more than USD100 billion on AWS over the next decade and announced that it had locked in 5GW of Trainium computing capacity to train and deploy Claude.

The products include Graviton and Trainium 2 to 4, including Trainium2 launched in the first half of the year, as well as 1GW of Trainium2 and Trainium3 computing capacity to be launched before the end of 2026.

The Information reported that software improvements have enabled smaller AI developers to migrate from GPUs to Trainium.

Amazon stated last month that Trainium2 is largely sold out, Trainium3 is nearly fully booked, and most of the Trainium4 capacity, which is scheduled for mass production in about 18 months, has already been reserved.

The broker believes that demand visibility and growth certainty for Trainium are high, potentially driving earnings growth for related suppliers.

The report noted that the market previously held relatively low expectations for Trainium and considered it undervalued.

From earlier concerns over performance issues to its recent customer wins, key factors include:-
1. Tight supply of NVIDIA GPUs, with Trainium deployment offering greater flexibility in computing resources;
2. Improved software support, with years of deep collaboration between Anthropic and Amazon enhancing the chip's supporting software capabilities,
3. Facilitating deployment by other customers, who indicated that documentation and support have improved in recent months alongside better compatibility with open-source tools;
4. Lower costs compared with GPUs, enhancing cost performance, with Trainium customers indicating that for inference workloads it can save about 35% in costs compared with H100, while Amazon's CEO stated that Trainium3 may deliver 30% to 40% better cost performance than Trainium2;
5. Significant performance gains from generational upgrades, with Trainium3 UltraServer achieving 4.4x performance improvement and 3.9x memory bandwidth increase over the previous generation, and Trainium4 potentially delivering a threefold increase in FP8 performance; and
6. Trainium's proprietary switching architecture supporting All-to-All communication, offering superior performance and total cost of ownership in MoE models.

Source: AASTOCKS Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[behappyalways]

Bezos Torches AOC, Says Billionaires "Earn Every Penny"
https://www.zerohedge.com/political/bez ... very-penny