Amazon.com, Inc. $AMZN Shares Acquired by Covington Investment Advisors Inc.

Key Points

• Covington Investment Advisors increased its Amazon stake by 7.9% in the second quarter, bringing its holdings to 125,331 shares valued at approximately $29.9 million. Institutional investors and hedge funds collectively own 72.2% of Amazon’s shares.
• Amazon reported strong quarterly results, with revenue rising 19.6% year over year to $200.61 billion and EPS of $5.75, well above analyst expectations. AWS and artificial intelligence remain key growth drivers, although increased model competition could pressure cloud margins.
• Wall Street maintains a favorable outlook, with a consensus “Moderate Buy” rating and an average price target of $321.19 versus the stock’s recent price of about $246.67. Shares rose 0.2%, while company insiders have sold approximately $18.3 million of stock over the past quarter.

Covington Investment Advisors Inc. boosted its position in shares of Amazon.com, Inc. (NASDAQ:AMZN - Free Report) by 7.9% in the 2nd quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 125,331 shares of the e-commerce giant's stock after buying an additional 9,193 shares during the quarter. Amazon.com accounts for approximately 3.8% of Covington Investment Advisors Inc.'s investment portfolio, making the stock its 7th largest position. Covington Investment Advisors Inc.'s holdings in Amazon.com were worth $29,871,000 at the end of the most recent quarter.

A number of other hedge funds have also recently bought and sold shares of AMZN. JNBA Financial Advisors raised its position in Amazon.com by 10.8% in the second quarter. JNBA Financial Advisors now owns 13,028 shares of the e-commerce giant's stock worth $3,105,000 after acquiring an additional 1,268 shares in the last quarter. Addenda Capital Inc. boosted its position in shares of Amazon.com by 9.3% during the 2nd quarter. Addenda Capital Inc. now owns 179,982 shares of the e-commerce giant's stock valued at $42,888,000 after purchasing an additional 15,326 shares in the last quarter. F&V Capital Management LLC grew its stake in shares of Amazon.com by 22.2% in the 2nd quarter. F&V Capital Management LLC now owns 1,515 shares of the e-commerce giant's stock worth $361,000 after purchasing an additional 275 shares during the last quarter. American Asset Management Inc. grew its stake in shares of Amazon.com by 24.9% in the 2nd quarter. American Asset Management Inc. now owns 1,464 shares of the e-commerce giant's stock worth $349,000 after purchasing an additional 292 shares during the last quarter. Finally, CTC Alternative Strategies Ltd. bought a new stake in shares of Amazon.com in the 2nd quarter worth approximately $3,146,000. 72.20% of the stock is owned by institutional investors and hedge funds.

Amazon.com News Roundup

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

• Positive Sentiment: AWS and AI remain the main growth catalysts. Amazon’s Bedrock platform is expanding its selection of models, including GPT-6 and Claude, while analysts argue that rising AI workloads could support faster AWS growth and higher margins. Lower model costs may also increase overall cloud consumption. Amazon Stock Slips as Bedrock Expands Model Choice
• Positive Sentiment: AI infrastructure partnerships are broadening. Australian biotech CSL is working with Amazon Web Services on AI and cloud tools for research and clinical development. Amazon is also building data-center infrastructure and its own satellite network, creating potential long-term growth opportunities beyond retail. Australia's CSL taps Amazon's cloud unit
• Positive Sentiment: Holiday demand expectations are favorable. Adobe projects roughly $10 billion in spending during Amazon’s October Prime Day and forecasts record U.S. holiday e-commerce sales. Strong consumer demand could support fourth-quarter revenue, although aggressive discounts may limit margins. Amazon Has a $10 Billion Holiday Catalyst Coming in October
• Neutral Sentiment: Amazon is gaining political visibility in AI. Founder Jeff Bezos joined other technology leaders at a White House meeting where President Trump said AI companies should largely self-police. The discussion could influence future regulation, but its direct financial impact remains unclear. Trump says AI leaders have to self-police AI technology
• Negative Sentiment: Model commoditization is pressuring AWS economics. Cheaper Claude models and more competing providers on Bedrock could reduce revenue per inference call and intensify price competition, even if usage volumes rise.
• Negative Sentiment: Regulatory and legal risks are increasing. Senate Democrats are seeking details on Amazon’s AI and data-center tax deductions, while a revived U.K. consumer lawsuit alleges that Amazon and Apple restricted competition in Apple-product sales. Amazon Draws Senate Questions Over AI Data Center Tax Deductions

Amazon.com Stock Up 0.2%

Shares of NASDAQ:AMZN opened at $246.67 on Wednesday. The firm has a 50 day simple moving average of $256.29 and a 200 day simple moving average of $247.66. Amazon.com, Inc. 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 has a market cap of $2.66 trillion, a PE ratio of 19.84, a price-to-earnings-growth ratio of 1.91 and a beta of 1.44.

Amazon.com (NASDAQ:AMZN - Get Free Report) last posted its quarterly earnings data on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share for the quarter, topping the consensus estimate of $1.82 by $3.93. Amazon.com had a net margin of 17.44% and a return on equity of 18.00%. The firm had revenue of $200.61 billion for the quarter, compared to analysts' expectations of $197.03 billion. During the same period in the previous year, the company posted $1.68 EPS. The company's quarterly revenue was up 19.6% compared to the same quarter last year. As a group, research analysts expect that Amazon.com, Inc. will post 8.01 earnings per share for the current year.

Wall Street Analysts Forecast Growth

Several research firms recently commented on AMZN. DA Davidson reissued a "neutral" rating and set a $250.00 target price on shares of Amazon.com in a research note on Friday, July 31st. Raymond James Financial restated an "outperform" rating and issued a $390.00 price target (up from $280.00) on shares of Amazon.com in a research report on Friday, July 31st. Telsey Advisory Group set a $335.00 price objective on Amazon.com and gave the company an "outperform" rating in a research report on Friday, July 31st. Benchmark raised their price objective on Amazon.com from $370.00 to $400.00 and gave the stock a "buy" rating in a research note on Friday, July 31st. Finally, Rosenblatt Securities began coverage on Amazon.com in a report on Thursday, August 20th. They issued a "buy" rating and a $335.00 target price on the stock. Fifty-six research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $321.19.

Insiders Place Their Bets

In related news, CEO Matthew Garman sold 14,541 shares of the stock in a transaction dated Friday, August 21st. The stock was sold at an average price of $259.06, for a total value of $3,766,991.46. Following the completion of the sale, the chief executive officer directly owned 17,794 shares of the company's stock, valued at approximately $4,609,713.64. This represents a 44.97% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Andrew R. Jassy sold 20,000 shares of the firm's stock in a transaction dated Friday, August 21st. The stock was sold at an average price of $259.01, for a total value of $5,180,200.00. Following the sale, the chief executive officer owned 2,235,766 shares of the company's stock, valued at $579,085,751.66. The trade was a 0.89% 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 have sold a total of 70,589 shares of company stock valued at $18,329,015 over the last quarter. 8.90% of the stock is owned by insiders.

Amazon.com Profile

Amazon.com, Inc is a global technology and commerce company that operates online marketplaces, physical stores, and a broad portfolio of digital and cloud-based services. The company offers consumer products across categories such as electronics, household goods, apparel, groceries, and entertainment, while also providing third-party sellers with tools for listing, selling, and fulfilling orders.

Amazon's major businesses include Amazon Web Services (AWS), which provides cloud computing, storage, database, analytics, and artificial intelligence services; Prime, a membership program that includes shipping, streaming, and other benefits; and digital entertainment services such as Prime Video, Amazon Music, Kindle, and Audible.

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