Amazon.com (NASDAQ:AMZN) Stock Price Up 4.6% on Analyst Upgrade

Key Points

• Amazon shares rose 4.6% to $284.02 after Bank of America increased its price target from $310 to $320 and maintained a buy rating. Trading volume was about 78% above the average session volume.
• Analyst sentiment remains positive, with 56 buy ratings and three holds; Amazon’s average price target is $322.56. Deutsche Bank and Citigroup also raised their targets, while Cantor Fitzgerald lowered its target but retained an overweight rating.
• AWS growth and AI demand are strengthening the investment outlook. Analysts cited rapid AWS growth, customer demand exceeding supply and an estimated $496 billion order backlog, while Amazon’s latest quarterly earnings and revenue exceeded consensus expectations.

Shares of Amazon.com, Inc. (NASDAQ:AMZN) rose 4.6% on Monday after Bank of America raised their price target on the stock from $310.00 to $320.00. Bank of America currently has a buy rating on the stock. Amazon.com traded as high as $287.20 and last traded at $284.02. 89,729,782 shares were traded during trading, an increase of 78% from the average session volume of 50,340,293 shares. The stock had previously closed at $271.58.

A number of other equities research analysts have also recently commented on the company. Deutsche Bank Aktiengesellschaft reissued a "buy" rating and issued a $325.00 target price (up from $315.00) on shares of Amazon.com in a research note on Friday. Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $320.00 target price (down from $330.00) on shares of Amazon.com in a report on Friday. William Blair reiterated an "outperform" rating on shares of Amazon.com in a research note on Thursday, April 9th. Citigroup reiterated a "buy" rating and set a $350.00 price target (up from $325.00) on shares of Amazon.com in a report on Friday. Finally, Arete Research raised their price target on shares of Amazon.com from $301.00 to $310.00 and gave the company a "buy" rating in a research report on Monday, May 18th. Fifty-six investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, Amazon.com currently has an average rating of "Moderate Buy" and an average target price of $322.56.

Insider Buying and Selling at Amazon.com

In other news, CEO Douglas J. Herrington sold 1,000 shares of the business's stock in a transaction on Wednesday, July 1st. The shares were sold at an average price of $239.77, for a total transaction of $239,770.00. Following the completion of the sale, the chief executive officer owned 484,527 shares of the company's stock, valued at $116,175,038.79. The trade was a 0.21% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Matthew S. Garman sold 15,467 shares of the company's stock in a transaction on Thursday, May 21st. The stock was sold at an average price of $263.40, for a total value of $4,074,007.80. Following the completion of the sale, the chief executive officer owned 14,159 shares of the company's stock, valued at $3,729,480.60. This trade represents a 52.21% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 76,867 shares of company stock valued at $20,253,702 in the last quarter. Insiders own 8.90% of the company's stock.

Trending Headlines about Amazon.com

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

• Positive Sentiment: AWS growth is driving renewed optimism. Amazon Web Services CEO Matt Garman said customer demand “significantly outstrips supply,” with demand increasingly shifting from AI model training to everyday AI applications. AWS reportedly delivered its fastest growth in 18 quarters, strengthening the case that Amazon’s heavy infrastructure investments are producing returns. AWS Is Investing to Keep Up With Demand, CEO Says
• Positive Sentiment: Large contracted demand supports the outlook. Analysts highlighted an approximately $496 billion AWS order backlog, while CEO Andy Jassy has indicated that customer demand extends into 2028 and that AWS could ultimately become a $1 trillion revenue business. Several Wall Street firms raised their AMZN price targets following the earnings report. Amazon Stock Gains Fuel Uptrend
• Positive Sentiment: AI optimism is lifting the broader technology group. Strong results from Amazon, Microsoft and Alphabet are reinforcing expectations for sustained hyperscaler spending on cloud and data-center capacity. A strategic AWS collaboration will also bring Superblocks’ enterprise AI application platform to Amazon Bedrock. Superblocks and AWS Collaboration

Institutional Trading of Amazon.com

Hedge funds have recently bought and sold shares of the stock. MilWealth Group LLC increased its stake in shares of Amazon.com by 79.0% in the fourth quarter. MilWealth Group LLC now owns 179 shares of the e-commerce giant's stock worth $41,000 after purchasing an additional 79 shares in the last quarter. Lifetime Wealth Management P.C. bought a new position in Amazon.com in the 4th quarter worth $45,000. Elkhorn Partners Limited Partnership increased its stake in Amazon.com by 900.0% in the 4th quarter. Elkhorn Partners Limited Partnership now owns 200 shares of the e-commerce giant's stock worth $46,000 after buying an additional 180 shares in the last quarter. Fairway Wealth LLC increased its stake in Amazon.com by 95.6% in the 4th quarter. Fairway Wealth LLC now owns 221 shares of the e-commerce giant's stock worth $51,000 after buying an additional 108 shares in the last quarter. Finally, Prudent Man Investment Management Inc. raised its holdings in Amazon.com by 87.7% during the fourth quarter. Prudent Man Investment Management Inc. now owns 229 shares of the e-commerce giant's stock valued at $53,000 after acquiring an additional 107 shares during the period. Institutional investors own 72.20% of the company's stock.

Amazon.com Trading Up 4.6%

The stock has a fifty day simple moving average of $245.70 and a 200 day simple moving average of $236.15. The firm has a market capitalization of $3.06 trillion, a P/E ratio of 22.85, a PEG ratio of 2.01 and a beta of 1.46. The company has a quick ratio of 0.87, a current ratio of 1.03 and a debt-to-equity ratio of 0.23.

Amazon.com (NASDAQ:AMZN - Get Free Report) last released its quarterly earnings data on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share for the quarter, topping analysts' consensus estimates of $1.82 by $3.93. The firm had revenue of $200.61 billion during the quarter, compared to analyst estimates of $197.03 billion. Amazon.com had a return on equity of 18.00% and a net margin of 17.44%.The business's quarterly revenue was up 19.6% compared to the same quarter last year. During the same quarter in the prior year, the company posted $1.68 earnings per share. As a group, research analysts forecast that Amazon.com, Inc. will post 7.84 EPS for the current year.

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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