Market Overview

Baird's Takeaways From Amazon's AWS re:Invent

Baird's Takeaways From Amazon's AWS re:Invent
Related AMZN
UPS Goes Against Tradition – Outsider Named To Run Its Fastest-Growing Unit
New Relic CEO Talks 'Fortnite,' Importance Of Real-Time Data
VC Deals: Niantic Gets $245M Before 'Harry Potter' (Seeking Alpha), Inc. (NASDAQ: AMZN)'s AWS re:Invent conference shows the company's "rapid pace of innovation" and reinforces its leadership position in the cloud, according to Baird.

The Analyst

Baird's Colin Sebastian maintains an Outperform rating on Amazon with an unchanged $2,100 price target.

The Thesis

Sebastian shared the following takeaways from the first days of Amazon's re:Invent conference in a note. (See his track record here.) 

  • AWS CEO Andy Jassy suggested the company's new software applications will include machine learning and artificial intelligence components, Sebastian said. AWS intends to use the technology to reduce cost and friction in ML workloads, such as Amazon Elastic Inference, which can cut GPU costs by 75 percent.
  • Blockchain technology is now "on Amazon's radar," the analyst said. The company announced Amazon Managed Blockchain, a fully managed service that supports Hyperledger Fabric and Ethereum frameworks. This can be used across multiple industries, including health care, mortgage issuance, supply chain and automotive, Sebastian said. 
  • The company introduced Lake Formation, which should reduce the time required to build a data lake from months to days, the analyst said. AWS already has more than 10,000 data lakes in its AWS S3 storage service, and the new offering could increase the accessibility of advanced machine learning and artificial intelligence applications, he said. 
  • AWS discussed its progress in hybrid cloud initiatives, including leveraging the partner ecosystem to support hybrid workloads and a strategic focus moving forward, according to Baird. 

Price Action

Amazon shares were down 0.25 percent at $1,673.57 at the close Thursday. 

Related Links:

Amazon Web Services Announces Cloud Robotics Development Service

Victor Anthony Says Buy Into Amazon's Weakness, Raises Target To $2,225

Photo courtesy of Amazon. 

Latest Ratings for AMZN

Oct 2018JefferiesMaintainsBuyBuy
Oct 2018Bank of AmericaMaintainsBuyBuy
Oct 2018BarclaysMaintainsOverweightOverweight

View More Analyst Ratings for AMZN
View the Latest Analyst Ratings

Posted-In: Andy Jassy artificial intelligenceAnalyst Color News Price Target Reiteration Events Analyst Ratings Best of Benzinga


Related Articles (AMZN)

View Comments and Join the Discussion!

Latest Ratings

CNPRBC CapitalUpgrades34.0
View the Latest Analytics Ratings
Don't Miss Out!
Join Our Newsletter
Subscribe to:
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Fintech Focus
Your weekly roundup of hot topics in the exciting world of fintech.
Thank You
for registering for Benzinga’s newsletters and alerts.
• The Daily Analysts Ratings email will be received daily between 7am and 10am.
• The Market in 5 Minutes email will be received daily between 7am and 8am.
• The Fintech Focus email will be received every Friday between 2pm and 5pm.

National Academies of Sciences Outlines Path Forward For Study Of Twin 33s

21 Tips For Surviving A Layoff