Amazon's CEO Andy Jassy Just Announced Huge News for Amazon Investors
AWS could be a $1 trillion division in a decade.
Amazon CEO Andy Jassy recently revealed groundbreaking news for investors at the company's third-quarter earnings call, predicting a potential $1 trillion growth for Amazon Web Services (AWS) by 2028. Jassy, who succeeded Amazon's founder Jeff Bezos as CEO, emphasized that AWS, Amazon's cloud computing unit, could experience growth exceeding 40% in both 2027 and 2028, driven by substantial investments in the platform.
AWS, which generated $161 billion in trailing-12-month sales, boasts a superior operating profile compared to Amazon's commerce segment, with a 39% operating margin in Q3 and an operating income of $17.8 billion. If AWS reaches a $1 trillion run rate a decade from now, Amazon's operating income could quadruple over the next decade, generating $390 billion in operating income.
This significant growth in AWS could result in substantial returns for shareholders, making AWS a top stock to consider for investors.
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