Amazon.com, Inc. $AMZN Stock: Core Wealth Management Inc. Cuts Holdings

Key Points

• Core Wealth Management cut its Amazon stake by 66.2% in the third quarter, selling 2,414 shares and ending the period with 1,230 shares worth about $306,000. Other institutional investors made mixed moves, and institutions overall own 72.2% of the stock.
• Amazon’s latest quarter showed 12.1% year-over-year revenue growth, but EPS of $1.89 and revenue of $201.94 billion both fell slightly short of analyst estimates.
• AWS and advertising offer growth potential, supported by AI demand and rising ad sales, while heavy AI and data-center spending raises cash-flow concerns. Analysts’ consensus rating is “Moderate Buy,” with an average price target of $321.74.

Core Wealth Management Inc. decreased its position in shares of Amazon.com, Inc. (NASDAQ:AMZN - Free Report) by 66.2% during the 3rd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 1,230 shares of the e-commerce giant's stock after selling 2,414 shares during the quarter. Amazon.com comprises approximately 0.1% of Core Wealth Management Inc.'s investment portfolio, making the stock its 26th biggest holding. Core Wealth Management Inc.'s holdings in Amazon.com were worth $306,000 at the end of the most recent reporting period.

Other institutional investors have also recently bought and sold shares of the company. XXI Wealth LLC increased its position in shares of Amazon.com by 23.2% during the third quarter. XXI Wealth LLC now owns 26,064 shares of the e-commerce giant's stock worth $6,494,000 after acquiring an additional 4,908 shares in the last quarter. Carderock Capital Management Inc. acquired a new stake in shares of Amazon.com during the third quarter worth $1,906,000. Yousif Capital Management LLC raised its holdings in shares of Amazon.com by 0.4% during the third quarter. Yousif Capital Management LLC now owns 971,254 shares of the e-commerce giant's stock worth $241,988,000 after acquiring an additional 3,969 shares during the period. Seven Mile Advisory raised its holdings in shares of Amazon.com by 0.9% during the third quarter. Seven Mile Advisory now owns 19,539 shares of the e-commerce giant's stock worth $4,868,000 after acquiring an additional 176 shares during the period. Finally, BIP Wealth LLC lifted its position in Amazon.com by 1.4% in the 3rd quarter. BIP Wealth LLC now owns 54,662 shares of the e-commerce giant's stock valued at $13,619,000 after acquiring an additional 729 shares in the last quarter. Institutional investors and hedge funds own 72.20% of the company's stock.

Amazon.com Trading Down 0.3%

Shares of NASDAQ:AMZN opened at $259.30 on Friday. Amazon.com, Inc. has a 52-week low of $196.00 and a 52-week high of $287.20. The company has a market capitalization of $2.80 trillion, a P/E ratio of 20.96, a price-to-earnings-growth ratio of 1.97 and a beta of 1.49. The company has a 50-day simple moving average of $253.96 and a 200 day simple moving average of $243.57. The company has a debt-to-equity ratio of 0.28, a quick ratio of 0.82 and a current ratio of 0.99.

Amazon.com (NASDAQ:AMZN - Get Free Report) last posted its quarterly 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). The business had revenue of $201.94 billion for the quarter, compared to the consensus estimate of $202.22 billion. Amazon.com had a return on equity of 15.72% and a net margin of 16.90%. The company's revenue for the quarter was up 12.1% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.95 EPS. Sell-side analysts forecast that Amazon.com, Inc. will post 7.80 earnings per share for the current year.

Key Stories Impacting Amazon.com

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

• Positive Sentiment: AWS growth could be a major long-term catalyst. CEO Andy Jassy sees AWS potentially becoming a $1 trillion business over the next decade, with strong AI demand supporting rapid growth. That outlook may help reassure investors that Amazon’s large infrastructure investments can generate substantial future revenue. Article: Amazon's CEO Andy Jassy Just Announced Huge News for Amazon Investors
• Positive Sentiment: Advertising remains another growth engine. Amazon’s ad revenue grew 12% in the latest quarter, and management expects high-teens growth next, offering a potential boost beyond retail and cloud. Article: Not Alphabet. Not Meta. This Is the Digital Advertising Stock I'd Buy Right Now
• Neutral Sentiment: Amazon is testing text-based shopping with Alexa for selected U.S. customers. The AI assistant can help find products, build carts and complete purchases; the feature could improve shopping convenience, though its impact on sales is not yet clear. Article: Amazon rolls out text-based shopping through Alexa
• Negative Sentiment: Spending and cash-flow concerns remain a near-term overhang. Despite record operating margins, investors are scrutinizing the cash required for Amazon’s AI and data-center buildout. Its latest quarterly EPS and revenue also came in slightly below consensus estimates. Article: Amazon Just Delivered a Record-Breaking Quarter. But There’s One Number Investors Shouldn’t Ignore
• Negative Sentiment: Potential data-center rules could raise costs. Midterm election results have increased attention on restrictions that could require Amazon and other tech companies to pay more of the power and grid costs associated with their data centers, potentially complicating expansion plans. Article: Microsoft and Google Face a New Bill as Data Centers Have to Pay Their Own Costs

Insider Transactions at Amazon.com

In related news, CEO Matthew Garman sold 14,541 shares of the business's stock in a transaction that occurred 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 directly owned 17,794 shares of the company's stock, valued at approximately $4,609,713.64. The trade was a 44.97% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP David Zapolsky sold 9,258 shares of the business's stock in a transaction that occurred on 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 in the company, valued at $10,699,926.30. The trade was a 18.35% 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 $18,545,595. Company insiders own 8.90% of the company's stock.

Wall Street Analysts Forecast Growth

AMZN has been the subject of a number of research analyst reports. Wells Fargo & Company reduced their target price on shares of Amazon.com from $329.00 to $326.00 and set an "overweight" rating for the company in a research note on Friday, October 30th. Phillip Securities upgraded Amazon.com from a "moderate buy" rating to a "strong-buy" rating in a report on Monday, November 2nd. Sanford C. Bernstein restated an "outperform" rating and issued a $320.00 price target (up from $315.00) on shares of Amazon.com in a report on Friday, July 31st. Zacks Research cut Amazon.com from a "strong-buy" rating to a "hold" rating in a research report on Monday, September 14th. Finally, Truist Financial set a $390.00 price objective on Amazon.com in a report on Friday, October 30th. Two research analysts have rated the stock with a Strong Buy rating, fifty-five have given a Buy rating and three have assigned a Hold rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $321.74.

About Amazon.com

Amazon.com, Inc is a technology and e-commerce company founded by Jeff Bezos in 1994 as an online bookstore. It has since grown into a global business serving consumers, sellers, developers, enterprises and content creators.

Amazon operates online stores and marketplaces, where it sells products directly and enables third-party sellers to reach customers. Its other businesses include Amazon Web Services, which provides cloud computing and related services; digital advertising; Prime memberships; and entertainment offerings such as streaming video and music.

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