Amazon.com (NASDAQ:AMZN) Stock Price Up 1.6% – Still a Buy?

Posted by Geri Gentry on Oct 27th, 2026

Amazon.com, Inc. (NASDAQ:AMZN – Get Free Report) shares shot up 1.6% during mid-day trading on Tuesday. The stock traded as high as $254.68 and last traded at $253.10. Approximately 33,769,195 shares changed hands during trading, a decline of 27% from the average session volume of 45,948,934 shares. The stock had previously closed at $249.09.

Key Headlines Impacting Amazon.com

Here are the key news stories impacting Amazon.com this week:

Positive Sentiment: Strong AWS and AI demand: Analysts expect Amazon Web Services growth to accelerate, supported by AI-related demand and cloud capacity that is reportedly largely sold out for 2027. Some analysts believe consensus estimates and price targets may be too conservative, with forecasts including targets of $320 to $350. Amazon cloud growth expected to beat forecasts
Positive Sentiment: Anthropic commitments provide visibility: Anthropic’s IPO filing disclosed approximately $110 billion of non-cancelable compute agreements with Amazon, offering substantial long-term revenue potential for AWS. Amazon’s investment in Anthropic could also benefit from the AI company’s growth and eventual public valuation. Anthropic IPO filing and AI infrastructure
Positive Sentiment: Expansion beyond e-commerce: The FCC approved Amazon Leo’s $11.57 billion acquisition of Globalstar, advancing Amazon’s satellite-communications ambitions. Separately, a more than $2 billion AI-related agreement with Verizon could support AWS adoption. FCC approves Amazon Leo Globalstar acquisition
Neutral Sentiment: Engineers urged to use AI selectively: Amazon told software teams not to measure AI adoption simply by code-generation volume or token usage, emphasizing productivity and business results. The memo highlights industry efforts to control rising AI costs, but does not indicate a change in Amazon’s broader AI strategy. Amazon AI coding memo
Negative Sentiment: Capital spending is pressuring cash flow: Amazon and other hyperscalers are committing enormous sums to data centers and AI infrastructure. Investors will focus on capital-expenditure guidance, AWS margins and free cash flow to determine whether demand is translating into acceptable returns.
Negative Sentiment: Cost pressures remain: Rising memory prices have forced difficult pricing and profitability decisions in Amazon’s devices business. In addition, UPS is improving margins partly by reducing lower-margin Amazon deliveries, suggesting continued scrutiny of the company’s logistics economics. Amazon device memory costs

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on the stock. DA Davidson restated a “neutral” rating and issued a $250.00 target price on shares of Amazon.com in a report on Friday, July 31st. Yorkville Ives started coverage on Amazon.com in a research note on Monday, October 19th. They issued an “outperform” rating and a $300.00 price target on the stock. Roth Capital reaffirmed a “buy” rating and issued a $325.00 price objective on shares of Amazon.com in a report on Monday, August 3rd. Phillip Securities downgraded Amazon.com from a “strong-buy” rating to a “moderate buy” rating in a report on Monday, August 3rd. Finally, HSBC reiterated a “buy” rating and set a $310.00 price target on shares of Amazon.com in a research note on Friday, July 31st. Fifty-seven investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $325.12.

Get Our Latest Research Report on AMZN

Amazon.com Price Performance

The company has a debt-to-equity ratio of 0.23, a quick ratio of 0.87 and a current ratio of 1.03. The firm’s fifty day simple moving average is $255.64 and its 200 day simple moving average is $243.00. The firm has a market cap of $2.73 trillion, a P/E ratio of 20.36, a P/E/G ratio of 2.04 and a beta of 1.45.

Amazon.com (NASDAQ:AMZN – Get Free Report) last posted its earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 EPS for the quarter, topping analysts’ consensus estimates of $1.82 by $3.93. Amazon.com had a return on equity of 18.00% and a net margin of 17.44%. The company had revenue of $200.61 billion for the quarter, compared to the consensus estimate of $197.03 billion. During the same period in the previous year, the business earned $1.68 earnings per share. The firm’s revenue for the quarter was up 19.6% on a year-over-year basis. As a group, analysts forecast that Amazon.com, Inc. will post 7.55 earnings per share for the current year.

Insiders Place Their Bets

In other news, CFO Brian T. Olsavsky sold 6,172 shares of the company’s stock in a transaction dated Friday, August 21st. The shares were sold at an average price of $260.31, for a total transaction of $1,606,633.32. Following the sale, the chief financial officer directly owned 109,207 shares in the company, valued at approximately $28,427,674.17. This represents a 5.35% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Andrew R. Jassy sold 20,000 shares of the stock in a transaction dated Friday, August 21st. The shares were sold at an average price of $259.01, for a total transaction of $5,180,200.00. Following the completion of the transaction, the chief executive officer directly owned 2,235,766 shares of the company’s stock, valued at approximately $579,085,751.66. The trade was a 0.89% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 71,589 shares of company stock worth $18,580,515. Insiders own 8.90% of the company’s stock.

Institutional Investors Weigh In On Amazon.com

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Bank of America Corp DE purchased a new stake in Amazon.com during the 2nd quarter valued at $22,218,775,000. Bank of New York Mellon Corp bought a new position in Amazon.com during the second quarter valued at $16,341,405,000. Legal & General Group Plc bought a new position in Amazon.com during the second quarter valued at $12,831,376,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new position in Amazon.com during the second quarter valued at $6,631,466,000. Finally, Jupiter Topco LLC purchased a new stake in shares of Amazon.com in the second quarter valued at $5,910,083,000. 72.20% of the stock is currently owned by hedge funds and other institutional investors.

Amazon.com Company Profile

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Amazon.com, Inc is a global technology and e-commerce company founded by Jeff Bezos in 1994. Originally launched as an online bookstore, the company has expanded into a broad digital marketplace offering consumer products across numerous categories, including electronics, household goods, apparel, groceries and other merchandise. Amazon also sells products under its own brands and provides logistics, fulfillment and delivery services that support its retail operations and third-party sellers.

The company’s principal businesses include online and physical retail, Amazon Web Services (AWS), digital advertising, subscription services and consumer technology.