Freedom Broker Issues Positive Forecast for Amazon.com (NASDAQ:AMZN) Stock Price

Key Points

• Freedom Broker raised its Amazon price target to $330 from $255 and reiterated a “buy” rating, implying 31.19% upside from the stock’s then-current price.
• Analyst sentiment is broadly positive: Amazon has a “Moderate Buy” consensus rating and an average price target of $321.02, based on 58 Buy or Strong Buy ratings and three Holds.
• Amazon’s latest quarterly revenue rose 12.1% year over year to $201.94 billion, but fell short of estimates; EPS of $1.89 also missed the $1.97 consensus.

Amazon.com (NASDAQ:AMZN - Get Free Report) had its target price raised by Freedom Broker from $255.00 to $330.00 in a research note issued to investors on Tuesday, Benzinga reports. The brokerage presently has a "buy" rating on the e-commerce giant's stock. Freedom Broker's target price would indicate a potential upside of 31.19% from the company's current price.

AMZN has been the topic of several other research reports. Raymond James Financial reaffirmed an "outperform" rating and issued a $250.00 price target on shares of Amazon.com in a report on Friday. Barclays reissued an "overweight" rating and set a $365.00 price objective (up from $330.00) on shares of Amazon.com in a research note on Friday, July 31st. TD Cowen restated a "buy" rating and issued a $340.00 target price (down from $350.00) on shares of Amazon.com in a report on Friday. Benchmark boosted their target price on Amazon.com from $370.00 to $400.00 and gave the stock a "buy" rating in a research report on Friday, July 31st. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and set a $325.00 target price (up from $315.00) on shares of Amazon.com in a report on Friday, July 31st. Two investment analysts have rated the stock with a Strong Buy rating, fifty-six have assigned a Buy rating and three have issued a Hold rating to the company's stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $321.02.

Amazon.com Price Performance

Shares of NASDAQ:AMZN traded up $5.92 during trading hours on Tuesday, hitting $251.55. 22,819,173 shares of the company's stock traded hands, compared to its average volume of 46,311,172. Amazon.com has a 52 week low of $196.00 and a 52 week high of $287.20. 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 company's fifty day simple moving average is $254.02 and its two-hundred day simple moving average is $243.11. The company has a market cap of $2.71 trillion, a price-to-earnings ratio of 20.34, a price-to-earnings-growth ratio of 1.98 and a beta of 1.45.

Amazon.com (NASDAQ:AMZN - Get Free Report) last released its earnings results on Thursday, October 29th. The e-commerce giant reported $1.89 EPS for the quarter, missing analysts' consensus estimates of $1.97 by ($0.08). Amazon.com had a return on equity of 18.00% and a net margin of 17.44%. The business had revenue of $201.94 billion during the quarter, compared to the consensus estimate of $202.22 billion. During the same quarter in the previous year, the firm earned $1.95 earnings per share. The firm's revenue for the quarter was up 12.1% compared to the same quarter last year. As a group, equities analysts anticipate that Amazon.com will post 8.00 EPS for the current fiscal year.

Insider Buying and Selling

In other news, CEO Matthew Garman sold 14,541 shares of Amazon.com stock in a transaction on Friday, August 21st. The stock was sold at an average price of $259.06, for a total transaction of $3,766,991.46. Following the transaction, the chief executive officer owned 17,794 shares in the company, valued at approximately $4,609,713.64. The trade was a 44.97% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, 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 company's stock in a transaction on Friday, August 21st. The shares were sold at an average price of $259.01, for a total value of $5,180,200.00. Following the transaction, the chief executive officer directly owned 2,235,766 shares in the company, valued at $579,085,751.66. The trade was a 0.89% 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. Over the last three months, insiders have sold 70,589 shares of company stock valued at $18,302,125. 8.90% of the stock is currently owned by company insiders.

Institutional Trading of Amazon.com

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

More Amazon.com News

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

• Positive Sentiment: AWS growth is the primary catalyst. Amazon Web Services revenue increased 39% in the latest quarter, its fastest growth rate in nearly five years. Management also sees the cloud business potentially becoming a $1 trillion opportunity, while analysts highlighted strong demand visibility and raised their outlooks. Amazon AWS growth article
• Positive Sentiment: Analyst support strengthened. Phillip Securities upgraded AMZN to “strong buy” from “moderate buy” and lifted its price target to $330, citing AWS growth, AI positioning and demand visibility. Other analysts continue to emphasize Amazon’s long-term earnings potential. Amazon analyst upgrade
• Positive Sentiment: Profitability in the core retail business is improving. Amazon posted a record 13.9% operating margin, helped by robotics and efficiency gains, while operating cash flow rose 29% over the past year. Management argues investors may be underestimating the earnings leverage available in e-commerce. Amazon retail margin article
• Neutral Sentiment: AI investments offer substantial upside but raise execution questions. Amazon’s Anthropic investment, custom AI chips and AWS infrastructure could benefit from continued AI demand. However, the company is reportedly arranging as much as $80 billion in supplier financing, and Anthropic’s potential share offering could affect the value and liquidity of Amazon’s stake. Amazon Anthropic investment article
• Negative Sentiment: Cash burn and capital spending remain the main overhang. Free cash flow reportedly turned into a $34.8 billion outflow as Amazon accelerates data-center and AI spending, with some estimates placing annual AI investment near $220 billion. Investors are questioning whether AWS profits can keep pace with the buildout and whether additional borrowing will increase financial risk. Amazon supplier financing article
• Negative Sentiment: AI-sector skepticism and infrastructure opposition could limit sentiment. A broader technology selloff reflects investor impatience with AI spending, while local opposition to Amazon’s planned Ohio data center presents a potential development delay. Third-party AI shopping agents also pose a longer-term threat to Amazon’s retail traffic and advertising model. Amazon Ohio data center article

About Amazon.com

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.

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