Aljian Capital Management LLC Makes New Investment in Amazon.com, Inc. $AMZN

Key Points

• Aljian Capital Management initiated a sizable Amazon position in the second quarter, buying 211,241 shares valued at approximately $50.3 million. Amazon now represents about 9.3% of the firm’s portfolio, while institutions and hedge funds collectively own 72.2% of the stock.
• Amazon reported strong quarterly results, with $5.75 in earnings per share versus the $1.82 consensus estimate and revenue of $200.61 billion, up 19.6% year over year. Analysts maintain a broadly bullish outlook, with a consensus “Moderate Buy” rating and an average price target of $323.26.
• Insiders sold shares while Amazon continues investing heavily in AI and AWS. Executives sold 71,589 shares worth $18.6 million over the quarter, and the company faces risks from elevated capital spending, new debt, data-center incentive changes and regulatory concerns surrounding Prime Air.

Aljian Capital Management LLC bought a new position in shares of Amazon.com, Inc. (NASDAQ:AMZN) during the 2nd quarter, according to its most recent Form 13F filing with the SEC. The institutional investor bought 211,241 shares of the e-commerce giant's stock, valued at approximately $50,347,000. Amazon.com makes up approximately 9.3% of Aljian Capital Management LLC's portfolio, making the stock its 4th biggest position.

A number of other institutional investors have also recently modified their holdings of the business. Trust Asset Management LLC lifted its position in shares of Amazon.com by 3.3% during the 2nd quarter. Trust Asset Management LLC now owns 107,563 shares of the e-commerce giant's stock valued at $26,000 after buying an additional 3,414 shares in the last quarter. Longfellow Investment Management Co. LLC purchased a new stake in Amazon.com in the 2nd quarter worth $33,000. MilWealth Group LLC increased its holdings in Amazon.com by 79.0% in the 4th quarter. MilWealth Group LLC now owns 179 shares of the e-commerce giant's stock worth $41,000 after acquiring an additional 79 shares in the last quarter. Lifetime Wealth Management P.C. acquired a new position in Amazon.com during the fourth quarter worth $45,000. Finally, Elkhorn Partners Limited Partnership raised its position in Amazon.com by 900.0% during the fourth quarter. Elkhorn Partners Limited Partnership now owns 200 shares of the e-commerce giant's stock worth $46,000 after acquiring an additional 180 shares during the period. 72.20% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling at Amazon.com

In other news, CEO Douglas Herrington sold 6,362 shares of the company's stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $259.01, for a total value of $1,647,821.62. Following the completion of the sale, the chief executive officer directly owned 476,681 shares in the company, valued at $123,465,145.81. This represents a 1.32% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP David Zapolsky sold 9,258 shares of the stock in a transaction that occurred on Monday, August 24th. The shares were sold at an average price of $259.77, for a total value of $2,404,950.66. Following the completion of the sale, the senior vice president directly owned 41,190 shares of the company's stock, valued at approximately $10,699,926.30. This represents a 18.35% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 71,589 shares of company stock worth $18,568,785. 8.90% of the stock is owned by company insiders.

Amazon.com Stock Performance

NASDAQ:AMZN opened at $256.78 on Friday. The company has a market cap of $2.77 trillion, a P/E ratio of 20.66, a P/E/G ratio of 1.98 and a beta of 1.44. Amazon.com, Inc. has a twelve month low of $196.00 and a twelve month high of $287.20. The company's 50-day moving average price is $255.56 and its 200-day moving average price is $244.13. The company has a current ratio of 1.03, a quick ratio of 0.87 and a debt-to-equity ratio of 0.23.

Amazon.com (NASDAQ:AMZN - Get Free Report) last announced its quarterly earnings data on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.82 by $3.93. The company had revenue of $200.61 billion during the quarter, compared to analysts' expectations of $197.03 billion. Amazon.com had a net margin of 17.44% and a return on equity of 18.00%. Amazon.com's revenue was up 19.6% compared to the same quarter last year. During the same quarter in the prior year, the company earned $1.68 EPS. On average, sell-side analysts forecast that Amazon.com, Inc. will post 8.05 earnings per share for the current fiscal year.

Key Amazon.com News

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

• Positive Sentiment: AWS remains the primary bullish catalyst. Analysts and market commentators described AWS as the “heartbeat” of the AI trade, citing its fastest growth in 18 quarters and Amazon’s ability to combine cloud AI services with its large e-commerce ecosystem. AWS Cloud Heartbeat of AI Trade
• Positive Sentiment: A major Qualcomm partnership strengthens Amazon’s AI infrastructure position. Amazon could purchase as much as $60 billion of Qualcomm AI data-center chips and related products under a long-term agreement. The deal supports AWS capacity expansion and signals confidence in sustained AI demand, although it also implies substantial future capital spending. Qualcomm AI Ambitions Get a Boost From Amazon Partnership
• Positive Sentiment: Amazon’s AI products are gaining enterprise validation. Rivian used Amazon Bedrock to automate finance work and eliminate more than 15 days of manual effort per close cycle, offering a concrete example of potential Bedrock demand. Amazon also expanded its Quick AI assistant to mobile devices. Rivian’s AI Agents Cut 15 Days From Every Close
• Positive Sentiment: Prime Air is moving closer to broader UK drone deliveries. Amazon completed more than 500 flights during a UK trial and is seeking approval to expand service in Darlington. Successful deployment could improve delivery economics and support longer-term logistics automation. Amazon delivery drones set for UK expansion
• Neutral Sentiment: Amazon Pay India is considering travel insurance and other financial products, expanding its potential addressable market but providing limited near-term earnings impact. Amazon Pay plans to expand insurance offerings
• Negative Sentiment: Risks remain around costs, leverage, and operations. Amazon’s AI buildout requires heavy capital spending and new debt, while potential changes to Ohio data-center tax incentives could reduce project economics. Separately, a fatal accident involving an aircraft operating for Prime Air has increased regulatory and reputational risk. Amazon’s Aviation Network Faces a Sobering Test

Analyst Upgrades and Downgrades

Several equities analysts have issued reports on the stock. Bank of America increased their price objective on shares of Amazon.com from $310.00 to $320.00 and gave the company a "buy" rating in a report on Friday, July 31st. Rosenblatt Securities began coverage on shares of Amazon.com in a research report on Thursday, August 20th. They set a "buy" rating and a $335.00 price target for the company. Mizuho set a $330.00 price target on shares of Amazon.com and gave the company an "outperform" rating in a research note on Friday, July 31st. The Goldman Sachs Group reaffirmed a "buy" rating and issued a $375.00 price target (up from $335.00) on shares of Amazon.com in a research note on Friday, July 31st. Finally, Arete Research lifted their price objective on Amazon.com from $301.00 to $310.00 and gave the stock a "buy" rating in a report on Monday, May 18th. One investment analyst has rated the stock with a Strong Buy rating, fifty-six have issued a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $323.26.

Amazon.com Company Profile

Amazon.com, Inc is a global technology and e-commerce company that operates online marketplaces and provides a broad range of consumer products and services. Its retail business sells merchandise directly to customers and enables third-party sellers to offer products through Amazon's websites and applications. The company also operates physical stores and provides services such as digital content, subscriptions, and consumer devices, including Kindle and Echo products.

Amazon Web Services (AWS) provides cloud computing, storage, database, analytics, artificial intelligence, machine learning, and other technology services to businesses, governments, and organizations.

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