Why Amazon’s Slice of the Pentagon’s $9 billion Cloud Contracts Adds to the Bull Case

Amazon stock has been clobbered since it last reporting earnings but the U.S. Department of Defense added to the bull case for the shares on Wednesday. The Pentagon announced the issuance of several contracts worth up to $9 billion for a cloud computing project called the Joint Warfighting Cloud Capability. While it has been a tough year for the tech sector in general and the division of work points to the competitiveness within the cloud industry, the Pentagon’s contract will drive growth for Amazon ‘s cloud business, AWS, Citi’s Ronald Josey said in a note on Thursday. Read More...