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AMAZON.COM

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Democratic senator warns of Trump involvement in Pentagon contract

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08/02/2019 | 07:46pm EDT
The logo of Amazon is seen on a building in San Jose

(Reuters) - U.S. Senator Mark Warner on Friday raised concerns over the Pentagon's decision to put on hold a $10 billion cloud computing contract after President Donald Trump said his administration was examining Amazon.com Inc bid following complaints from other tech companies.

Trump in July had said in July that Amazon's bid for the contract, called the Joint Enterprise Defense Infrastructure Cloud, or JEDI, was being reviewed.

A Pentagon spokeswoman said on Thursday that Defense Secretary Mark Esper, who assumed his role on July 23, was reviewing accusations of unfairness.

"It's important that we maintain a fair & competitive process for DoD contracts, but for the President to use the power of his office to punish critics in the media would be a complete abuse of power," Warner, a Democrat, said on Twitter. "This does not pass the smell test & we need some answers."

Amazon's founder and chief executive, Jeff Bezos, also owns the Washington Post. Trump, who has continually assailed the media with cries of "fake news," has accused the newspaper of unfair coverage.

Oracle Corp lobbied aggressively and expressed concerns about the award process for the contract, but along with IBM Corp it has since been eliminated from the competition, leaving Amazon and Microsoft Corp as finalists.

(Reporting by Uday Sampath in Bengaluru; Editing by Leslie Adler)

Stocks mentioned in the article
ChangeLast1st jan.
AMAZON.COM -1.71% 1807.84 Delayed Quote.20.36%
INTERNATIONAL BUSINESS MACHINES CORPORATION -0.83% 142.48 Delayed Quote.25.35%
MICROSOFT CORPORATION -0.72% 136.33 Delayed Quote.34.22%
ORACLE CORPORATION -1.13% 53.14 Delayed Quote.17.70%
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Financials (USD)
Sales 2019 279 B
EBIT 2019 15 137 M
Net income 2019 12 036 M
Finance 2019 34 260 M
Yield 2019 -
P/E ratio 2019 76,2x
P/E ratio 2020 53,8x
EV / Sales2019 3,08x
EV / Sales2020 2,54x
Capitalization 894 B
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Mean consensus BUY
Number of Analysts 50
Average target price 2 272,65  $
Last Close Price 1 807,84  $
Spread / Highest target 44,6%
Spread / Average Target 25,7%
Spread / Lowest Target 3,16%
EPS Revisions
Managers
NameTitle
Jeffrey P. Bezos Chairman, President & Chief Executive Officer
Brian T. Olsavsky Chief Financial Officer & Senior Vice President
Patricia Q. Stonesifer Independent Director
Tom A. Alberg Independent Director
Thomas O. Ryder Independent Director
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