Amazon.com, Inc. $AMZN Shares Acquired by Formuepleje A S

Key Points

• Formuepleje A S increased its Amazon stake by 11.4% in the third quarter to 215,689 shares valued at approximately $53.7 million. Institutional investors and hedge funds collectively own 72.2% of Amazon’s stock.
• Analysts maintain a broadly positive outlook, with 57 Buy ratings and three Holds, producing a “Moderate Buy” consensus and average price target of $322.53; targets cited in the article range as high as $350.
• Amazon’s growth outlook is centered on accelerating AWS and AI demand, advertising, automation and Trainium chips, but its planned $220 billion investment program is pressuring free cash flow. Investors are watching the October 29 earnings report for updates on cloud margins, capital spending and cash-flow recovery.

Formuepleje A S increased its stake in Amazon.com, Inc. (NASDAQ:AMZN - Free Report) by 11.4% during the third quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 215,689 shares of the e-commerce giant's stock after acquiring an additional 22,134 shares during the quarter. Amazon.com makes up 4.6% of Formuepleje A S's holdings, making the stock its 8th largest holding. Formuepleje A S's holdings in Amazon.com were worth $53,739,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds have also modified their holdings of the company. State Street Corp increased its stake in Amazon.com by 5.5% in the 2nd quarter. State Street Corp now owns 411,848,346 shares of the e-commerce giant's stock worth $95,504,904,000 after purchasing an additional 21,398,025 shares in the last quarter. Bank of America Corp DE acquired a new stake in Amazon.com during the 2nd quarter worth about $22,218,775,000. Bank of New York Mellon Corp purchased a new stake in Amazon.com during the second quarter valued at about $16,341,405,000. Amundi lifted its stake in Amazon.com by 3.9% during the second quarter. Amundi now owns 63,822,242 shares of the e-commerce giant's stock valued at $15,211,393,000 after buying an additional 2,421,739 shares in the last quarter. Finally, Legal & General Group Plc purchased a new stake in Amazon.com during the second quarter valued at about $12,831,376,000. 72.20% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several brokerages have commented on AMZN. Sanford C. Bernstein reiterated an "outperform" rating and issued a $320.00 target price (up from $315.00) on shares of Amazon.com in a report on Friday, July 31st. Phillip Securities lowered shares of Amazon.com from a "strong-buy" rating to a "moderate buy" rating in a report on Monday, August 3rd. Roth Capital restated a "buy" rating and issued a $325.00 price target on shares of Amazon.com in a research report on Monday, August 3rd. KeyCorp reaffirmed an "overweight" rating on shares of Amazon.com in a research note on Thursday, October 15th. Finally, TD Cowen reiterated a "buy" rating and set a $350.00 price objective on shares of Amazon.com in a research report on Monday, October 5th. Fifty-seven investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $322.53.

Key Stories Impacting Amazon.com

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

• Positive Sentiment: AWS growth is accelerating, with analysts focused on stronger demand for AI infrastructure, a large cloud backlog and potential margin expansion. Morgan Stanley named Amazon a top pick and raised its price target to $350, citing AWS growth, advertising, Prime, and fulfillment automation as additional catalysts. Amazon's $350 Price Target Faces a Big Earnings Test
• Positive Sentiment: CEO Andy Jassy said Amazon’s Trainium chips could reduce AI inference costs, which he characterized as roughly 10 times too high today. Successful adoption of internally designed chips could lower AWS infrastructure costs and improve profitability. Amazon CEO Discusses AI Inference Costs and Trainium
• Positive Sentiment: Analysts also see longer-term upside from warehouse automation, logistics expansion and advertising monetization, while Amazon’s planned UK entry-level hiring initiative may support its workforce and public-image goals. Amazon Logistics Automation Offers Long-Term Margin Gains
• Neutral Sentiment: Investors are awaiting the October 29 quarterly report, which is expected to clarify AWS growth, cloud margins, capital-spending guidance, free-cash-flow recovery and early Prime Day demand. Amazon Earnings Scheduled for October 29
• Negative Sentiment: The $220 billion investment plan has pushed free cash flow into the red and raised concerns that AI spending may outpace near-term returns. Reports that Nvidia hardware is waiting for available data-center power add execution risk to the infrastructure buildout. Amazon AI Hardware Awaits Data-Center Power

Amazon.com Trading Down 1.0%

Amazon.com stock opened at $248.00 on Friday. Amazon.com, Inc. has a 12 month low of $196.00 and a 12 month high of $287.20. The company has a quick ratio of 0.87, a current ratio of 1.03 and a debt-to-equity ratio of 0.23. The stock has a market cap of $2.68 trillion, a P/E ratio of 19.95, a P/E/G ratio of 2.06 and a beta of 1.45. The company's fifty day simple moving average is $255.56 and its 200-day simple moving average is $253.29.

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, topping the consensus estimate of $1.82 by $3.93. The business 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%. Amazon.com's quarterly revenue was up 19.6% compared to the same quarter last year. During the same period last year, the company earned $1.68 earnings per share. As a group, sell-side analysts forecast that Amazon.com, Inc. will post 7.55 EPS for the current fiscal year.

Insider Transactions at Amazon.com

In other Amazon.com news, SVP David Zapolsky sold 9,258 shares of the company's stock in a transaction dated Monday, August 24th. The stock was sold at an average price of $259.77, for a total value of $2,404,950.66. Following the transaction, the senior vice president directly owned 41,190 shares of the company's stock, valued at $10,699,926.30. This represents a 18.35% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Douglas Herrington sold 6,362 shares of the company'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 $1,647,821.62. Following the completion of the transaction, the chief executive officer directly owned 476,681 shares in the company, valued at approximately $123,465,145.81. The trade was a 1.32% 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 ninety days, insiders have sold 71,589 shares of company stock valued at $18,580,515. Corporate insiders own 8.90% of the company's stock.

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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