Amazon.com FY2027 EPS Forecast Lifted by Erste Group Bank

Key Points

• Erste Group raised its FY2027 EPS forecast for Amazon to $9.75 (from $9.44), well above the current consensus of $7.98, reflecting increased analyst optimism about forward earnings.
• Amazon’s Q1 beat—EPS of $2.78 versus a $1.63 estimate and revenue of $181.5B—spurred multiple price-target upgrades and leaves the stock with an average "Moderate Buy" rating and an average target of $313.09.

Amazon.com, Inc. (NASDAQ:AMZN - Free Report) - Analysts at Erste Group Bank upped their FY2027 earnings per share estimates for shares of Amazon.com in a research report issued on Tuesday, May 5th. Erste Group Bank analyst S. Lingnau now expects that the e-commerce giant will earn $9.75 per share for the year, up from their previous forecast of $9.44. The consensus estimate for Amazon.com's current full-year earnings is $7.98 per share.

Several other equities analysts also recently issued reports on the stock. Robert W. Baird upped their price objective on shares of Amazon.com from $285.00 to $300.00 and gave the company an "outperform" rating in a research note on Thursday, April 30th. Mizuho upped their price target on shares of Amazon.com from $315.00 to $325.00 and gave the company an "outperform" rating in a research report on Tuesday, April 28th. Weiss Ratings raised shares of Amazon.com from a "buy (b-)" rating to a "buy (b)" rating in a report on Wednesday. Moffett Nathanson increased their target price on shares of Amazon.com from $283.00 to $288.00 and gave the stock a "buy" rating in a research note on Tuesday, April 7th. Finally, TD Cowen reissued a "buy" rating and set a $350.00 price target (up from $300.00) on shares of Amazon.com in a report on Thursday, April 30th. Fifty-six investment 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.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $313.09.

Amazon.com Trading Up 0.0%

NASDAQ:AMZN opened at $271.24 on Friday. The stock has a market cap of $2.92 trillion, a P/E ratio of 32.35, a P/E/G ratio of 1.99 and a beta of 1.46. Amazon.com has a 1 year low of $191.16 and a 1 year high of $278.56. The company has a debt-to-equity ratio of 0.27, a quick ratio of 1.01 and a current ratio of 1.18. The stock has a 50-day simple moving average of $227.55 and a 200-day simple moving average of $228.72.

Amazon.com (NASDAQ:AMZN - Get Free Report) last issued its earnings results on Wednesday, April 29th. The e-commerce giant reported $2.78 earnings per share for the quarter, beating the consensus estimate of $1.63 by $1.15. The firm had revenue of $181.52 billion for the quarter, compared to analysts' expectations of $177.28 billion. Amazon.com had a net margin of 12.22% and a return on equity of 19.92%. The firm's revenue was up 16.6% compared to the same quarter last year. During the same quarter last year, the company earned $1.59 earnings per share.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. Fairway Wealth LLC grew its holdings in Amazon.com by 113.2% in the third quarter. Fairway Wealth LLC now owns 113 shares of the e-commerce giant's stock valued at $25,000 after purchasing an additional 60 shares during the period. Sellwood Investment Partners LLC acquired a new stake in Amazon.com in the third quarter valued at approximately $27,000. MilWealth Group LLC grew its holdings in Amazon.com by 79.0% during the 4th quarter. MilWealth Group LLC now owns 179 shares of the e-commerce giant's stock valued at $41,000 after purchasing an additional 79 shares in the last quarter. Lifetime Wealth Management P.C. acquired a new stake in shares of Amazon.com during the fourth quarter valued at about $45,000. Finally, Elkhorn Partners Limited Partnership increased its holdings in Amazon.com by 900.0% during the 4th quarter. Elkhorn Partners Limited Partnership now owns 200 shares of the e-commerce giant's stock worth $46,000 after purchasing an additional 180 shares during the last quarter. 72.20% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

In other Amazon.com news, CEO Andrew R. Jassy sold 31,352 shares of Amazon.com stock in a transaction that occurred on Monday, May 4th. The stock was sold at an average price of $275.00, for a total value of $8,621,800.00. Following the sale, the chief executive officer owned 2,175,766 shares of the company's stock, valued at approximately $598,335,650. The trade was a 1.42% decrease in their position. The sale was disclosed in a document filed 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, SVP David Zapolsky sold 10,649 shares of the firm's stock in a transaction that occurred on Tuesday, February 24th. The shares were sold at an average price of $205.43, for a total value of $2,187,624.07. Following the completion of the sale, the senior vice president directly owned 41,190 shares of the company's stock, valued at $8,461,661.70. This represents a 20.54% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 191,593 shares of company stock valued at $46,289,241. 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: Q1 results and analyst upgrades reinforce the growth/AI narrative — Amazon’s April quarter beat consensus, AWS growth reaccelerated and several brokers raised targets and ratings, supporting upside expectations. Is Amazon a Must‑Buy After Q1 Beats?
• Positive Sentiment: Street estimate lift — Erste Group raised its FY2027 EPS forecast for AMZN, indicating some analysts expect stronger forward earnings as AI and AWS scale. MarketBeat AMZN
• Positive Sentiment: New commercial avenues — Amazon opened its full logistics stack to third parties (Amazon Supply Chain Services) and expanded pharmacy offerings (same‑day Ozempic pill delivery), diversifying revenue and potentially improving margins over time. Amazon Opens Logistics Network
• Positive Sentiment: Partner integrations for Bedrock agents — Payments and wallet integrations with Coinbase/Stripe expand Bedrock’s commerce capabilities, supporting AWS monetization of agentic AI services. Bedrock Agent Payments
• Neutral Sentiment: Insider sales disclosed — CEO and other executives sold shares under pre‑arranged 10b5‑1 plans; filings are worth noting but appear planned rather than opportunistic. SEC Form 4 (Jassy Sale)
• Neutral Sentiment: Content and marketing investments — Prime Video’s regional spend (e.g., €90M in French-language production) supports engagement but is small vs. AMZN’s scale. Prime Video Investment
• Negative Sentiment: AWS outage raises near‑term reliability concerns — a cooling failure in a Northern Virginia AWS zone disrupted services for Coinbase and other customers, spotlighting operational risk for AWS-dependent clients. AWS Cooling Issue Hits Coinbase
• Negative Sentiment: CapEx and FCF pressure from the AI arms race — hyperscaler AI capex is draining free cash flow and elevating execution/timing risk if AI revenue doesn’t scale fast enough; this is a major focus for investors. Hyperscalers’ Free Cash Flow Dips
• Negative Sentiment: Regulatory/geopolitical cloud risk — reports the EU may restrict use of U.S. cloud providers for sensitive government data adds a potential headwind for AWS in European public‑sector contracts. EU May Restrict US Cloud Providers

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.

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