Amazon.com, Inc. (NASDAQ:AMZN – Free Report) – Analysts at Erste Group Bank increased their FY2027 EPS estimates for Amazon.com in a research note issued to investors on Friday, June 5th. Erste Group Bank analyst S. Lingnau now anticipates that the e-commerce giant will post earnings of $9.96 per share for the year, up from their prior forecast of $9.90. The consensus estimate for Amazon.com’s current full-year earnings is $7.71 per share.
Several other equities analysts have also weighed in on the stock. HSBC boosted their target price on shares of Amazon.com from $280.00 to $310.00 and gave the company a “buy” rating in a report on Thursday, April 30th. Pivotal Research restated a “buy” rating and issued a $320.00 price objective (up from $300.00) on shares of Amazon.com in a report on Thursday, April 30th. China Renaissance upped their price objective on shares of Amazon.com from $300.00 to $326.00 and gave the stock a “buy” rating in a report on Tuesday, May 5th. UBS Group set a $315.00 price objective on shares of Amazon.com in a report on Monday, June 1st. Finally, Barclays restated an “overweight” rating on shares of Amazon.com in a report on Tuesday. Fifty-seven analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $312.52.
Amazon.com Stock Down 2.5%
Shares of NASDAQ AMZN opened at $238.00 on Thursday. Amazon.com has a 12-month low of $196.00 and a 12-month high of $278.56. The stock has a market cap of $2.56 trillion, a PE ratio of 28.47, a P/E/G ratio of 1.83 and a beta of 1.44. The company has a current ratio of 1.18, a quick ratio of 1.01 and a debt-to-equity ratio of 0.27. The company has a 50-day moving average of $252.26 and a 200 day moving average of $233.44.
Amazon.com (NASDAQ:AMZN – Get Free Report) last released its earnings results on Wednesday, April 29th. The e-commerce giant reported $2.78 EPS for the quarter, topping analysts’ consensus estimates of $1.63 by $1.15. Amazon.com had a net margin of 12.22% and a return on equity of 19.92%. The business had revenue of $181.52 billion during the quarter, compared to analysts’ expectations of $177.28 billion. During the same quarter in the previous year, the company earned $1.59 earnings per share. The company’s quarterly revenue was up 16.6% on a year-over-year basis.
Institutional Investors Weigh In On Amazon.com
Several large investors have recently added to or reduced their stakes in AMZN. Red Crane Wealth Management LLC increased its position in shares of Amazon.com by 2.3% in the 1st quarter. Red Crane Wealth Management LLC now owns 1,663 shares of the e-commerce giant’s stock valued at $346,000 after purchasing an additional 38 shares during the last quarter. Robinson Smith Wealth Advisors LLC increased its position in shares of Amazon.com by 0.7% in the 1st quarter. Robinson Smith Wealth Advisors LLC now owns 5,509 shares of the e-commerce giant’s stock valued at $1,147,000 after purchasing an additional 40 shares during the last quarter. Sfam LLC increased its position in shares of Amazon.com by 3.4% in the 1st quarter. Sfam LLC now owns 1,224 shares of the e-commerce giant’s stock valued at $255,000 after purchasing an additional 40 shares during the last quarter. Measured Risk Portfolios Inc. increased its position in shares of Amazon.com by 3.4% in the 1st quarter. Measured Risk Portfolios Inc. now owns 1,206 shares of the e-commerce giant’s stock valued at $251,000 after purchasing an additional 40 shares during the last quarter. Finally, CoreFirst Bank & Trust increased its position in shares of Amazon.com by 1.1% in the 1st quarter. CoreFirst Bank & Trust now owns 3,620 shares of the e-commerce giant’s stock valued at $754,000 after purchasing an additional 40 shares during the last quarter. 72.20% of the stock is owned by hedge funds and other institutional investors.
Insider Activity
In related news, CEO Douglas J. Herrington sold 1,000 shares of the company’s stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $266.19, for a total transaction of $266,190.00. Following the sale, the chief executive officer directly owned 485,527 shares of the company’s stock, valued at $129,242,432.13. This represents a 0.21% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Shelley Reynolds sold 2,363 shares of the company’s stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $262.38, for a total transaction of $620,003.94. Following the sale, the vice president directly owned 119,780 shares in the company, valued at approximately $31,427,876.40. The trade was a 1.93% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 195,774 shares of company stock worth $51,614,434 over the last 90 days. Company insiders own 8.90% of the company’s stock.
Key Amazon.com News
Here are the key news stories impacting Amazon.com this week:
- Positive Sentiment: Amazon is strengthening its AI and cloud position with the rollout of a faster in-house Graviton5 CPU for AWS customers, which supports its long-term competitive edge in cloud computing and AI workloads.
- Positive Sentiment: BMO reportedly named Amazon one of its top AI picks, reinforcing bullish Wall Street sentiment around the company’s AI and AWS growth story.
- Positive Sentiment: Amazon secured a $17.5 billion delayed-draw term loan facility, giving it additional financial flexibility to keep funding data centers, AI infrastructure, and other growth investments. Reuters article on Amazon securing $17.5 billion loan facility amid AI-driven capex ramp
- Positive Sentiment: Amazon’s expanded partnership activity, including Pinterest storefront integrations and additional commerce tie-ins, could help drive product discovery and more sales through its marketplace.
- Positive Sentiment: Amazon also expanded its less-than-truckload freight service to outside businesses, which could open a new logistics revenue stream and deepen its role in supply-chain services.
- Neutral Sentiment: Several articles highlighted Amazon’s growing role in AI infrastructure, including supply-chain and fiber-related deals, which are strategically important but still more about future growth than immediate earnings impact.
- Negative Sentiment: The large loan facility and ongoing AI infrastructure buildout are also reminding investors that Amazon’s capital expenditures are rising sharply, which can pressure near-term margins and explain some of the stock’s weakness.
- Negative Sentiment: Some commentary suggests the market is increasingly focused on Amazon’s heavy spending and financing needs, creating concern that the company may be prioritizing long-term growth at the expense of near-term profitability.
Amazon.com Company Profile
Amazon.com, Inc is a diversified technology and retail company best known for its e-commerce marketplace and broad portfolio of consumer and enterprise services. Founded by Jeff Bezos in 1994 and headquartered in Seattle, Washington, the company launched as an online bookseller and expanded into a global retail platform that sells products directly to consumers and provides a marketplace for third-party sellers. Over time Amazon has grown beyond retail into areas including cloud computing, digital media, devices and logistics.
Key businesses and offerings include Amazon’s online marketplace and fulfillment services, the Amazon Prime membership program (which bundles expedited shipping with streaming and other benefits), Amazon Web Services (AWS) which supplies on-demand cloud computing and storage to businesses and public-sector customers, and a range of content and advertising services such as Prime Video and Amazon Advertising.
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