Competitor of SAP makes public debut: It's wise for investors to simultaneously consider Amazon's shares as well
In the world of technology and finance, there have been some significant developments this week.
Börsenmedien AG, the organisation responsible for the creation and rights of the Tech-Giant Index which includes Amazon's stock, has entered into a cooperation agreement with the issuer of the presented securities. This agreement grants the issuer a license to use the index, with Börsenmedien AG receiving remuneration from the issuer. One of the beneficiaries of this agreement is Amazon, whose stock can be found in the Tech-Giant Index of BÖRSE ONLINE.
Amazon's stock has shown a steady increase, rising by 1.17% in pre-market trading on Tuesday, following a 2.34% gain the previous day. This growth can be attributed, in part, to the company's cloud division, AWS, which is the growth driver in Amazon's business model and achieved double-digit growth in revenue in the second quarter.
Oracle, another tech giant, has also seen a surge in its stock price. Since the beginning of the year, Oracle's stock has gained over 34%. This growth can be linked to strong growth in its cloud offerings and alleviated concerns about AI. In a notable move, Oracle recently announced a comprehensive agreement with Amazon's cloud division, AWS, for Oracle databases to run on AWS's cloud platform.
Meanwhile, SAP, a software company, has also experienced growth. SAP's stock rose by 1.5 percent on Tradegate on Tuesday, and maintained its gain throughout the afternoon. SAP recently reached the 200 euros mark for the first time, and is now close to the magical mark of 200 euros. This growth can be attributed, in part, to the positive outlook of its American competitor, Oracle.
The cloud and AI hype seems to be contagious, with Oracle's stock rising by nearly 9% in pre-market trading on Tuesday due to strong growth in its cloud offerings and alleviated concerns about AI. If Amazon maintains its momentum, its stock could temporarily break out of its current sideways trend and move closer to the average target price of $222.88 set by Wall Street analysts.
In this landscape of tech and finance, it's clear that collaboration and growth are key. As these companies continue to innovate and collaborate, we can expect to see further movement in the market.
