Amazon.com (NASDAQ:AMZN) Shares Down 4.6% – What’s Next?

Amazon.com, Inc. (NASDAQ:AMZN) shares were down 4.6% during mid-day trading on Thursday . The stock traded as low as $232.05 and last traded at $233.66. Approximately 47,105,172 shares changed hands during trading, a decline of 5% from the average daily volume of 49,421,617 shares. The stock had previously closed at $244.85.

More Amazon.com News

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

• Positive Sentiment: Options data and several analyst/commentary pieces suggest traders expect a post-earnings move higher, and multiple firms remain bullish on AMZN heading into the July 30 report. Ahead of Amazon Earnings, Here’s What Barchart Data Says Comes Next for AMZN Stock
• Positive Sentiment: India eased e-commerce export rules, which is a win for Amazon’s international marketplace ambitions and could support long-term growth. India relaxes e-commerce investment rules for exports in win for Amazon
• Positive Sentiment: Several bullish research notes continue to frame AWS, custom silicon, and Amazon’s AI buildout as long-term growth drivers, with some investors arguing the capex surge should ultimately strengthen Amazon’s competitive moat. Amazon: Why The CapEx Surge Makes Me More Bullish, Not Less

Wall Street Analyst Weigh In

A number of analysts have recently commented on AMZN shares. New Street Research boosted their target price on shares of Amazon.com from $280.00 to $350.00 and gave the stock a “buy” rating in a research note on Monday, May 4th. Barclays reiterated an “overweight” rating on shares of Amazon.com in a report on Tuesday, June 9th. Telsey Advisory Group boosted their price objective on Amazon.com from $300.00 to $315.00 and gave the stock an “outperform” rating in a research note on Thursday, April 30th. BMO Capital Markets increased their target price on Amazon.com from $310.00 to $315.00 and gave the company an “outperform” rating in a report on Thursday, April 23rd. Finally, Citigroup restated a “market outperform” rating on shares of Amazon.com in a research report on Wednesday, July 15th. Fifty-seven analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat.com, Amazon.com has a consensus rating of “Moderate Buy” and a consensus target price of $312.91.

Amazon.com Stock Performance

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 stock’s fifty day simple moving average is $248.26 and its 200 day simple moving average is $236.32. The company has a market cap of $2.50 trillion, a price-to-earnings ratio of 27.76, a P/E/G ratio of 1.75 and a beta of 1.46.

Amazon.com (NASDAQ:AMZN) last issued its earnings results on Wednesday, April 29th. The e-commerce giant reported $2.78 earnings per share for the quarter, topping the consensus estimate of $1.63 by $1.15. Amazon.com had a return on equity of 19.92% and a net margin of 12.22%.The business had revenue of $181.52 billion for the quarter, compared to analysts’ expectations of $177.28 billion. During the same period in the previous year, the firm posted $1.59 EPS. The business’s revenue for the quarter was up 16.6% compared to the same quarter last year. As a group, analysts anticipate that Amazon.com, Inc. will post 7.75 earnings per share for the current year.

Insider Buying and Selling

In other Amazon.com news, SVP David Zapolsky sold 9,270 shares of the company’s stock in a transaction on Friday, May 22nd. The stock was sold at an average price of $268.53, for a total value of $2,489,273.10. Following the completion of the sale, the senior vice president directly owned 41,190 shares in the company, valued at $11,060,750.70. This represents a 18.37% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Shelley Reynolds sold 2,363 shares of the firm’s stock in a transaction on Thursday, May 21st. The stock was sold at an average price of $262.38, for a total value of $620,003.94. Following the completion of the sale, the vice president directly owned 119,780 shares of the company’s stock, valued at $31,427,876.40. This trade represents a 1.93% decrease in their ownership of the stock. 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. Insiders sold 140,425 shares of company stock worth $37,715,464 over the last quarter. Corporate insiders own 8.90% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the business. Brighton Jones LLC lifted its stake in Amazon.com by 10.9% during the fourth quarter. Brighton Jones LLC now owns 4,036,091 shares of the e-commerce giant’s stock worth $885,478,000 after purchasing an additional 397,007 shares in the last quarter. Revolve Wealth Partners LLC grew its stake in shares of Amazon.com by 4.1% in the fourth quarter. Revolve Wealth Partners LLC now owns 25,045 shares of the e-commerce giant’s stock valued at $5,495,000 after buying an additional 986 shares in the last quarter. Bank Pictet & Cie Europe AG grew its stake in shares of Amazon.com by 2.8% in the fourth quarter. Bank Pictet & Cie Europe AG now owns 2,016,869 shares of the e-commerce giant’s stock valued at $442,481,000 after buying an additional 54,987 shares in the last quarter. Highview Capital Management LLC DE raised its holdings in shares of Amazon.com by 5.5% in the 4th quarter. Highview Capital Management LLC DE now owns 28,975 shares of the e-commerce giant’s stock valued at $6,357,000 after buying an additional 1,518 shares during the period. Finally, Liberty Square Wealth Partners LLC purchased a new stake in shares of Amazon.com in the 4th quarter valued at $2,153,000. 72.20% of the stock is currently owned by institutional investors and hedge funds.

About Amazon.com

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.