Baupost Group LLC MA Buys New Shares in Amazon.com, Inc. $AMZN

Key Points

• Baupost Group LLC MA initiated a large new position in Amazon during the fourth quarter, buying 2,121,391 shares valued at about $489.7 million. The stake now represents roughly 9.3% of Baupost’s portfolio, making AMZN its second-largest holding.
• Amazon continues to attract strong Wall Street support, with 57 analysts rating it a Buy and a consensus price target of $312.78. Recent reports from firms like Wolfe Research and Mizuho also raised their targets to as high as $325.
• Recent insider activity was notable, as CEO Matthew S. Garman and CEO Andrew R. Jassy both sold shares under pre-arranged trading plans. In the last 90 days, insiders sold 195,774 shares worth about $51.6 million.

Baupost Group LLC MA bought a new stake in shares of Amazon.com, Inc. (NASDAQ:AMZN - Free Report) during the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm bought 2,121,391 shares of the e-commerce giant's stock, valued at approximately $489,659,000. Amazon.com comprises about 9.3% of Baupost Group LLC MA's investment portfolio, making the stock its 2nd largest holding.

Several other institutional investors and hedge funds also recently made changes to their positions in the business. Lifelong Wealth Advisors Inc. grew its holdings in shares of Amazon.com by 2.4% during the 4th quarter. Lifelong Wealth Advisors Inc. now owns 1,740 shares of the e-commerce giant's stock valued at $402,000 after purchasing an additional 41 shares during the last quarter. Financial Connections Group Inc. grew its holdings in shares of Amazon.com by 2.6% during the 4th quarter. Financial Connections Group Inc. now owns 1,633 shares of the e-commerce giant's stock valued at $376,000 after purchasing an additional 42 shares during the last quarter. Marquette Asset Management LLC grew its holdings in shares of Amazon.com by 5.1% during the 4th quarter. Marquette Asset Management LLC now owns 886 shares of the e-commerce giant's stock valued at $205,000 after purchasing an additional 43 shares during the last quarter. Western Financial Corp CA grew its holdings in shares of Amazon.com by 1.5% during the 4th quarter. Western Financial Corp CA now owns 3,076 shares of the e-commerce giant's stock valued at $710,000 after purchasing an additional 44 shares during the last quarter. Finally, Navalign LLC grew its holdings in shares of Amazon.com by 0.3% during the 4th quarter. Navalign LLC now owns 13,349 shares of the e-commerce giant's stock valued at $3,081,000 after purchasing an additional 44 shares during the last quarter. Institutional investors own 72.20% of the company's stock.

Insider Transactions at Amazon.com

In other news, CEO Matthew S. Garman sold 15,467 shares of the firm's stock in a transaction dated Thursday, May 21st. The shares were sold at an average price of $263.40, for a total value of $4,074,007.80. Following the completion of the sale, the chief executive officer directly owned 14,159 shares of the company's stock, valued at approximately $3,729,480.60. This trade represents a 52.21% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. 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 Thursday, May 21st. The stock was sold at an average price of $263.42, for a total transaction of $5,268,400.00. Following the completion of the sale, the chief executive officer directly owned 2,205,766 shares of the company's stock, valued at approximately $581,042,879.72. This represents a 0.90% 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. In the last 90 days, insiders sold 195,774 shares of company stock worth $51,614,434. 8.90% of the stock is owned by corporate insiders.

Analyst Ratings Changes

AMZN has been the topic of several recent research reports. Wolfe Research reaffirmed an "outperform" rating and set a $320.00 target price (up from $245.00) on shares of Amazon.com in a report on Thursday, April 30th. Phillip Securities raised shares of Amazon.com from a "moderate buy" rating to a "buy" rating and set a $280.00 price target on the stock in a report on Wednesday, May 13th. DZ Bank raised their price target on shares of Amazon.com from $295.00 to $320.00 and gave the stock a "buy" rating in a report on Monday, May 4th. Mizuho raised their price target on shares of Amazon.com from $315.00 to $325.00 and gave the stock an "outperform" rating in a report on Tuesday, April 28th. Finally, BMO Capital Markets raised their price target on shares of Amazon.com from $310.00 to $315.00 and gave the stock an "outperform" rating in a report on Thursday, April 23rd. Fifty-seven investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $312.78.

Key Headlines Impacting 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

Amazon.com Trading Down 1.2%

NASDAQ:AMZN opened at $238.55 on Friday. The company has a 50-day moving average price of $253.49 and a 200-day moving average price of $233.62. Amazon.com, Inc. has a 12 month low of $196.00 and a 12 month high of $278.56. The company has a current ratio of 1.18, a quick ratio of 1.01 and a debt-to-equity ratio of 0.27. The stock has a market cap of $2.57 trillion, a price-to-earnings ratio of 28.53, a P/E/G ratio of 1.79 and a beta of 1.44.

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

About Amazon.com

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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