Amazon.com, Inc. (Nasdaq:AMZN) is one of the Ai stocks that every investor must see. On September 24, Wells Fargo analyst Ken Gawrelski improved the action of equal overweight weight with an objective price of $ 280.00 (from $ 245.00).
The firm has a greater conviction in AWS’s income acceleration in 2026 promoted by the Rainier Project and maximum losses for shares in 2025.
Gawrelski pointed out how Project Rainier is an AWS data center dedicated for anthropic calculation in Indiana. It is expected to start putting online in January 2026. Your equipment has estimated that the installation will contribute an estimated $ 14B of annual AWS income to a total capacity of 2.2GW.
Although AWS market share will continue to decrease, growth should resume rhythm again as the broader cloud industry expands.
Some risks highlighted by the company include execution challenges with Rainier, training chips performance, demand for slow work and core and margin pressure related to AI.
“Update OW (EW) to AMZN on a greater conviction in the acceleration of AWS in ’26. Increasing the growth of AWS to +22%from the previous/consensus of +19%/ +18%. We see the Rainier project, a capacity to compute significant with the capacity of the Anthrope capacity, such as the main promoter of the acceleration of the acceleration, the growth of 5%/4% AWS in ’26/’27. Rainier scale execution, the performance of training chips, the additional deceleration of workloads (NO AI) and a greater amount of margin related to the AI ​​of the anticipated.
(Tagstotranslate) Rainier Project (T) Revenue Acceleration (T) Income Growth (T) AWS
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