Arrowstreet Capital Limited Partnership Has $5.69 Billion Stake in Amazon.com, Inc. $AMZN

Key Points

• Arrowstreet Capital boosted its Amazon stake by 21% in Q4, buying 4.28 million additional shares and lifting its position to 24.65 million shares worth about $5.69 billion. Amazon is now its second-largest holding and represents about 3.3% of the portfolio.
• Amazon’s most recent quarterly results beat expectations, with EPS of $2.78 versus $1.63 expected and revenue of $181.52 billion versus $177.28 billion expected. Revenue rose 16.6% year over year, and analysts now project full-year EPS of 7.71.
• Broker sentiment remains constructive, with several firms raising price targets and the stock carrying an average Moderate Buy rating and a consensus target of $312.78. At the same time, insiders have been selling shares, and investors remain focused on concerns about heavy AI capital spending and its effect on margins and cash flow.

Arrowstreet Capital Limited Partnership grew its stake in shares of Amazon.com, Inc. (NASDAQ:AMZN) by 21.0% in the 4th quarter, according to its most recent disclosure with the SEC. The institutional investor owned 24,653,228 shares of the e-commerce giant's stock after acquiring an additional 4,275,942 shares during the period. Amazon.com comprises approximately 3.3% of Arrowstreet Capital Limited Partnership's investment portfolio, making the stock its 2nd biggest holding. Arrowstreet Capital Limited Partnership owned approximately 0.23% of Amazon.com worth $5,690,463,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also recently modified their holdings of the company. MilWealth Group LLC increased its holdings in Amazon.com by 79.0% during the fourth quarter. MilWealth Group LLC now owns 179 shares of the e-commerce giant's stock valued at $41,000 after buying an additional 79 shares during the period. Fairway Wealth LLC increased its holdings in Amazon.com by 95.6% during the fourth quarter. Fairway Wealth LLC now owns 221 shares of the e-commerce giant's stock valued at $51,000 after buying an additional 108 shares during the period. Prudent Man Investment Management Inc. increased its holdings in Amazon.com by 87.7% during the fourth quarter. Prudent Man Investment Management Inc. now owns 229 shares of the e-commerce giant's stock valued at $53,000 after buying an additional 107 shares during the period. Bridge Generations Wealth Management LLC increased its holdings in Amazon.com by 2,330.0% during the third quarter. Bridge Generations Wealth Management LLC now owns 243 shares of the e-commerce giant's stock valued at $53,000 after buying an additional 233 shares during the period. Finally, Cooksen Wealth LLC increased its holdings in Amazon.com by 23.5% during the second quarter. Cooksen Wealth LLC now owns 247 shares of the e-commerce giant's stock valued at $54,000 after buying an additional 47 shares during the period. Institutional investors own 72.20% of the company's stock.

Amazon.com Stock Performance

Shares of AMZN stock opened at $238.55 on Friday. The business's fifty day simple moving average is $253.49 and its 200-day simple moving average is $233.62. The company has a market cap of $2.57 trillion, a PE ratio of 28.53, a PEG ratio of 1.79 and a beta of 1.44. The company has a current ratio of 1.18, a quick ratio of 1.01 and a debt-to-equity ratio of 0.27. Amazon.com, Inc. has a 12-month low of $196.00 and a 12-month high of $278.56.

Amazon.com (NASDAQ:AMZN - Get Free Report) last issued its quarterly earnings results on Wednesday, April 29th. The e-commerce giant reported $2.78 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.63 by $1.15. The business had revenue of $181.52 billion for the quarter, compared to the consensus estimate of $177.28 billion. Amazon.com had a return on equity of 19.92% and a net margin of 12.22%.The business's quarterly revenue was up 16.6% on a year-over-year basis. During the same period in the prior year, the firm posted $1.59 earnings per share. Analysts expect that Amazon.com, Inc. will post 7.71 earnings per share for the current fiscal year.

Trending Headlines about Amazon.com

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

• Positive Sentiment: Amazon continues to strengthen its AI and cloud position, with reports saying its custom chips are seeing strong demand in AWS and that its growing AI capabilities could help drive long-term upside. Article Title
• Positive Sentiment: Amazon expanded its logistics moat by launching less-than-truckload freight service for all U.S. businesses, which could improve its supply-chain offering and deepen its role in e-commerce infrastructure. Article Title
• Positive Sentiment: Amazon also signed a major patent license agreement with InterDigital covering Prime Video and devices, removing legal uncertainty and reinforcing its streaming and devices ecosystem. Article Title
• Neutral Sentiment: Analysts and commentators remain constructive on Amazon’s long-term fundamentals, pointing to e-commerce efficiency, AWS AI dominance, and potential value in its Anthropic investment, but these are more long-term catalysts than immediate trading drivers. Article Title
• Negative Sentiment: Investors are worried about Amazon’s heavy AI capital spending and new borrowing, which may pressure margins and free cash flow before the payback shows up. Article Title
• Negative Sentiment: Broader market pieces note that Amazon has lagged the S&P 500 recently and that its valuation has been hit by concerns over capex and softer near-term sentiment. Article Title

Insider Activity

In related news, SVP David Zapolsky sold 9,270 shares of the company's stock in a transaction on Friday, May 22nd. The stock was sold at an average price of $268.53, for a total value of $2,489,273.10. Following the transaction, the senior vice president directly owned 41,190 shares of the company's stock, valued at $11,060,750.70. This represents a 18.37% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Shelley Reynolds sold 2,363 shares of the company's stock in a transaction on Thursday, May 21st. The shares were sold at an average price of $262.38, for a total value of $620,003.94. Following the completion of the transaction, the vice president directly owned 119,780 shares in the company, valued at approximately $31,427,876.40. The trade was a 1.93% 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 sold 195,774 shares of company stock valued at $51,614,434. 8.90% of the stock is owned by corporate insiders.

Analyst Upgrades and Downgrades

Several brokerages recently issued reports on AMZN. Needham & Company LLC lifted their price objective on shares of Amazon.com from $265.00 to $300.00 and gave the company a "buy" rating in a report on Thursday, April 30th. HSBC lifted their price objective on shares of Amazon.com from $280.00 to $310.00 and gave the company a "buy" rating in a report on Thursday, April 30th. UBS Group set a $315.00 price objective on shares of Amazon.com in a report on Monday, June 1st. Cantor Fitzgerald reissued an "overweight" rating and set a $330.00 price objective (up from $280.00) on shares of Amazon.com in a report on Thursday, April 30th. Finally, Truist Financial lifted 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, May 29th. Fifty-seven equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $312.78.

Amazon.com Company Profile

Amazon.com, Inc is a diversified technology and retail company best known for its e-commerce marketplace and broad portfolio of consumer and enterprise services. Founded by Jeff Bezos in 1994 and headquartered in Seattle, Washington, the company launched as an online bookseller and expanded into a global retail platform that sells products directly to consumers and provides a marketplace for third-party sellers. Over time Amazon has grown beyond retail into areas including cloud computing, digital media, devices and logistics.

Key businesses and offerings include Amazon's online marketplace and fulfillment services, the Amazon Prime membership program (which bundles expedited shipping with streaming and other benefits), Amazon Web Services (AWS) which supplies on-demand cloud computing and storage to businesses and public-sector customers, and a range of content and advertising services such as Prime Video and Amazon Advertising.

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