Amazon.com, Inc. $AMZN Stock: BigSur Wealth Management LLC Cuts Position

Key Points

• BigSur Wealth Management cut its Amazon stake by 11% in the third quarter, selling 2,000 shares and retaining 16,245 shares valued at approximately $4.05 million. Institutional investors still own 72.2% of Amazon’s stock.
• Analysts remain broadly bullish: Amazon has a “Moderate Buy” consensus rating, with 57 Buy ratings and three Holds; Morgan Stanley raised its price target to $350, citing AWS growth and AI-related opportunities.
• Amazon’s AI expansion is supported by new Trainium software and planned data-center power investments, but heavy capital spending, negative free cash flow and recent insider selling remain risks for investors.

BigSur Wealth Management LLC lowered its stake in Amazon.com, Inc. (NASDAQ:AMZN - Free Report) by 11.0% during the third quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 16,245 shares of the e-commerce giant's stock after selling 2,000 shares during the period. Amazon.com comprises 1.0% of BigSur Wealth Management LLC's investment portfolio, making the stock its 27th biggest position. BigSur Wealth Management LLC's holdings in Amazon.com were worth $4,047,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other hedge funds and other institutional investors have also made changes to their positions in the company. TOP Private Wealth LLC. purchased a new position in Amazon.com in the second quarter worth approximately $29,000. Bard Associates Inc. purchased a new stake in shares of Amazon.com in the 2nd quarter valued at approximately $32,000. Longfellow Investment Management Co. LLC purchased a new stake in shares of Amazon.com in the 2nd quarter valued at approximately $33,000. Atomic Invest LLC increased its position in shares of Amazon.com by 41.2% in the 2nd quarter. Atomic Invest LLC now owns 168 shares of the e-commerce giant's stock valued at $40,000 after purchasing an additional 49 shares during the last quarter. Finally, Lifetime Wealth Management P.C. acquired a new stake in shares of Amazon.com in the 4th quarter valued at $45,000. Hedge funds and other institutional investors own 72.20% of the company's stock.

Key Stories Impacting Amazon.com

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

• Positive Sentiment: Morgan Stanley names Amazon a top pick: The firm raised its price target to $350 from $335 and maintained an Overweight rating, citing an “under-appreciated” AWS growth runway. Morgan Stanley now expects AWS growth of approximately 47% in 2027, alongside potential gains from Bedrock, agentic AI, advertising, robotics and automated fulfillment. Amazon stock pops after Morgan Stanley details five catalysts
• Positive Sentiment: AWS makes Trainium easier to adopt: Amazon introduced TorchNeuron, a tool designed to let developers run existing PyTorch applications on its Trainium chips with minimal code changes. The software could reduce Nvidia’s CUDA-related ecosystem advantage, improve Trainium adoption and lower customer AI-computing costs. Amazon is taking its biggest shot at Nvidia with TorchNeuron
• Positive Sentiment: Long-term power strategy supports AI expansion: Amazon agreed to fund development of a proposed 960-megawatt Indiana nuclear plant and intends to purchase its electricity. The project could provide reliable power for expanding data-center capacity, although it remains subject to feasibility work and approvals. Amazon to fund 12 small nuclear reactors in Indiana
• Neutral Sentiment: Data-center supply chain activity: 3M expanded its commercial relationship with Amazon for data-center products, reportedly involving a multibillion-dollar opportunity. The agreement highlights continued infrastructure spending but does not appear to materially change Amazon’s near-term earnings outlook. 3M expands Amazon data center partnership
• Negative Sentiment: Capital intensity remains a risk: Commentary noted Amazon’s planned roughly $220 billion in annual capital expenditures, negative free cash flow and higher long-term debt. Investors will need evidence that AI spending translates into durable AWS revenue and margin expansion. Amazon’s AI data-center spending challenges

Insider Activity

In other Amazon.com news, SVP David Zapolsky sold 9,258 shares of Amazon.com stock in a transaction that occurred on Monday, August 24th. The stock was sold at an average price of $259.77, for a total transaction of $2,404,950.66. Following the transaction, the senior vice president owned 41,190 shares of the company's stock, valued at $10,699,926.30. The trade was a 18.35% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Brian Olsavsky sold 6,172 shares of the business's stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $260.31, for a total value of $1,606,633.32. Following the completion of the sale, the chief financial officer owned 109,207 shares of the company's stock, valued at approximately $28,427,674.17. This represents a 5.35% 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. Insiders have sold a total of 71,589 shares of company stock worth $18,580,515 over the last ninety days. 8.90% of the stock is owned by corporate insiders.

Wall Street Analyst Weigh In

AMZN has been the subject of several recent analyst reports. Robert W. Baird set a $310.00 price objective on shares of Amazon.com and gave the stock an "outperform" rating in a research report on Friday, July 31st. Wells Fargo & Company set a $329.00 target price on Amazon.com and gave the company an "overweight" rating in a report on Monday, October 12th. Wolfe Research reissued an "outperform" rating and issued a $315.00 target price on shares of Amazon.com in a report on Friday, July 31st. Morgan Stanley restated an "overweight" rating and issued a $350.00 price target (up from $335.00) on shares of Amazon.com in a research note on Monday. Finally, Monness Crespi & Hardt lifted their price target on Amazon.com from $315.00 to $330.00 and gave the stock a "buy" rating in a report on Friday, July 31st. Fifty-seven investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the company's stock. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $322.53.

Amazon.com Stock Performance

Shares of AMZN stock opened at $262.45 on Tuesday. The stock's 50-day moving average is $256.44 and its two-hundred day moving average is $252.31. The firm has a market cap of $2.83 trillion, a price-to-earnings ratio of 21.11, a PEG ratio of 1.93 and a beta of 1.45. Amazon.com, Inc. has a 1 year low of $196.00 and a 1 year 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.

Amazon.com (NASDAQ:AMZN - Get Free Report) last posted its earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 EPS for the quarter, topping analysts' consensus estimates of $1.82 by $3.93. Amazon.com had a return on equity of 18.00% and a net margin of 17.44%. The business had revenue of $200.61 billion for the quarter, compared to analysts' expectations of $197.03 billion. During the same quarter in the previous year, the firm earned $1.68 earnings per share. The business's revenue was up 19.6% compared to the same quarter last year. Analysts predict that Amazon.com, Inc. will post 8.02 earnings per share for the current year.

Amazon.com Company Profile

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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