Jane Street vs Morgan Stanley

Etched Draws Funding Offers at $40B Valuation

AI chip startup Etched is reportedly receiving funding offers that could double its valuation to $40 billion to $50 billion, just two months after closing a $700 million round at a $21 billion valuation. Talks are early and terms may change, but the potential raise would provide a cash runway of up to 3.5 years. The company builds full AI hardware systems with proprietary chips, a capital-intensive segment, and claims its chips process tokens faster and cheaper than Nvidia's, attracting interest from firms like Jane Street where speed is critical. Jane Street led the last round and is also a customer. Etched has secured $1 billion in customer orders, hired about 15% of its workforce from Nvidia, operates a 10-megawatt data center in Silicon Valley, and has a Taiwan office near TSMC.

• Etched received funding offers at a $40 billion valuation from top investors and up to $50 billion from lesser-known ones.
• The startup raised $700 million at a $21 billion valuation in August 2026.
• Jane Street led the previous round and is also a customer that received an early system.

Amazon's Path to Recovery: AWS Growth and AI Strategy

The article discusses Amazon's stock performance, which has dropped over 7% from its record high in August. Morgan Stanley analysts added Amazon to their top picks and raised their price target to $350, citing under-appreciated AWS growth and profitability. The key factors for Amazon's recovery include strong AWS revenue growth, better-than-expected operating margins, the strategic value of Bedrock, success in agentic AI, and potential savings from physical AI robotics in fulfillment centers. CEO Andy Jassy's commentary on AI investment returns and data center lifecycle is central to investor confidence. Amazon's Q3 earnings are expected on Oct. 29.

• Amazon's stock dropped over 7% from its record high of $284 on Aug. 3.
• Morgan Stanley raised Amazon's price target to $350 from $335 and added it to top picks.
• Amazon's Q3 earnings are scheduled for Oct. 29 after market close.

Morgan Stanley Says Seagate Stock Could Rally 82%

Morgan Stanley reiterated its overweight rating on Seagate Technology Holdings and raised its 12-month price target slightly to $1,200 from $1,187, implying nearly 82% upside from the previous close. Analyst Erik Woodring cited strong demand for hard disk drives (HDDs) that has outpaced supply, with a 400-exabyte shortfall noted by HSBC. He believes the market resembles memory a year ago, with margins well below peak and pricing accelerating. Seagate's recent spot deals have priced at two to five times contracted levels, which could drive further upside. The consensus on Wall Street is also bullish, with 24 of 27 analysts rating the stock a buy or strong buy. Seagate shares have fallen 23% in the past month but are up 140% year to date and 208% in the past 12 months.

• Morgan Stanley raised its 12-month price target on Seagate to $1,200 from $1,187, implying nearly 82% upside.
• Analyst Erik Woodring cited strong HDD demand outpacing supply and a 400-exabyte shortfall.
• Seagate's recent spot deals were priced at two to five times contracted levels.

Morgan Stanley Capital Partners Acquires The Rapid Group

Morgan Stanley Capital Partners acquires The Rapid Group, a press release dated October 20, 2026.