Burk Holdings LLC Purchases New Position in Amazon.com, Inc. $AMZN

Key Points

• Burk Holdings LLC bought 5,398 Amazon shares worth approximately $1.29 million in the second quarter, making Amazon its 12th-largest holding and 0.5% of its portfolio. Institutional investors collectively own 72.2% of Amazon’s stock.
• Wall Street remains broadly bullish: 56 analysts rate Amazon a Buy and three rate it Hold, producing a consensus “Moderate Buy” rating and a $321.19 price target.
• Amazon reported strong quarterly results, with revenue rising 19.6% year over year to $200.61 billion and EPS of $5.75 versus estimates of $1.82. However, investors face risks from heavy planned capital spending, potentially negative free cash flow, regulatory scrutiny and insider stock sales.

Burk Holdings LLC purchased a new position in Amazon.com, Inc. (NASDAQ:AMZN - Free Report) in the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm purchased 5,398 shares of the e-commerce giant's stock, valued at approximately $1,287,000. Amazon.com makes up 0.5% of Burk Holdings LLC's portfolio, making the stock its 12th largest position.

Several other large investors also recently added to or reduced their stakes in AMZN. Auto Owners Insurance Co increased its position in shares of Amazon.com by 27,376.7% during the 4th quarter. Auto Owners Insurance Co now owns 98,448,885 shares of the e-commerce giant's stock valued at $2,272,397,000 after purchasing an additional 98,090,585 shares during the last quarter. Bank of New York Mellon Corp purchased a new stake in Amazon.com during the 2nd quarter valued at $16,341,405,000. Amundi lifted its position in Amazon.com by 14.1% in the first quarter. Amundi now owns 61,400,503 shares of the e-commerce giant's stock worth $12,787,883,000 after buying an additional 7,590,952 shares during the last quarter. Invesco Ltd. boosted its stake in Amazon.com by 3.3% during the fourth quarter. Invesco Ltd. now owns 59,604,857 shares of the e-commerce giant's stock worth $13,757,993,000 after buying an additional 1,879,630 shares during the period. Finally, Dimensional Fund Advisors LP increased its position in Amazon.com by 23.0% during the first quarter. Dimensional Fund Advisors LP now owns 39,029,984 shares of the e-commerce giant's stock valued at $8,126,338,000 after acquiring an additional 7,305,560 shares during the last quarter. 72.20% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on the stock. Rosenblatt Securities began coverage on shares of Amazon.com in a report on Thursday, August 20th. They issued a "buy" rating and a $335.00 target price for the company. TD Cowen reissued a "buy" rating and issued a $350.00 price objective (up from $340.00) on shares of Amazon.com in a research report on Friday, July 31st. Raymond James Financial reissued an "outperform" rating and issued a $390.00 price objective (up from $280.00) on shares of Amazon.com in a research note on Friday, July 31st. HSBC restated a "buy" rating and set a $310.00 target price on shares of Amazon.com in a research report on Friday, July 31st. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and set a $325.00 target price (up from $315.00) on shares of Amazon.com in a research note on Friday, July 31st. Fifty-six investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $321.19.

Amazon.com News Summary

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

• Positive Sentiment: Amazon agreed to purchase up to $8 billion of backup generators from Generac, including approximately $2.4 billion of deliveries in 2027–2028. The deal should help Amazon bring AWS data centers online despite grid-connection delays and power shortages, while Amazon receives warrants to purchase Generac shares. Generac Plugs into Amazon for an $8B AI-Powered Deal
• Positive Sentiment: Analysts and investors continue to point to accelerating AWS demand, with reports citing a $169 billion annualized revenue run rate and a large cloud backlog. That supports expectations that AI-related infrastructure spending can translate into future sales, despite near-term cash-flow pressure. Amazon’s Andy Jassy Just Made a Startling Prediction
• Positive Sentiment: Project Mercury aims to expand Amazon’s same-day delivery network to more than 1,000 hubs by 2031. Bank of America called the initiative strategically important as Amazon attempts to narrow Walmart’s proximity and convenience advantage. Amazon’s secret weapon against Walmart could be a massive blitz in same-day delivery
• Positive Sentiment: AWS made its AI-powered hiring product, Amazon Connect Talent, generally available, expanding Amazon’s enterprise AI offerings beyond cloud infrastructure. Amazon has also received favorable attention from UBS analysts among top technology stock picks.
• Neutral Sentiment: Amazon is promoting industry and government cooperation on AI safety standards, emphasizing testing before release without calling for a broader slowdown in development. The stance may improve trust but is unlikely to materially change near-term results. Amazon Urges Industry and Government Partnership on AI Safeguards
• Negative Sentiment: Amazon faces European Commission scrutiny over marketplace rules that may restrict sellers from offering lower prices elsewhere, creating potential regulatory and compliance costs.
• Negative Sentiment: Investors remain concerned that roughly $220 billion of planned 2026 capital expenditures could keep free cash flow negative. Higher wages, delivery costs and possible electricity-grid charges for data centers add to the spending burden.
• Negative Sentiment: U.S. senators have urged the FTC to investigate Amazon’s AI shopping tools over alleged suppression of U.S.-made products and misleading “Made in USA” labels. The company also continues to face reputational and legal attention related to its Prime settlement.

Amazon.com Price Performance

Shares of NASDAQ AMZN opened at $253.71 on Monday. Amazon.com, Inc. has a 52-week low of $196.00 and a 52-week high of $287.20. The firm has a market capitalization of $2.74 trillion, a price-to-earnings ratio of 20.41, a PEG ratio of 1.97 and a beta of 1.44. The stock has a 50 day moving average price of $256.09 and a 200 day moving average price of $245.86. 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 released its quarterly earnings data on Thursday, July 30th. The e-commerce giant reported $5.75 EPS for the quarter, topping the consensus estimate of $1.82 by $3.93. The company had revenue of $200.61 billion for the quarter, compared to the consensus estimate 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% on a year-over-year basis. During the same period last year, the business posted $1.68 EPS. Sell-side analysts expect that Amazon.com, Inc. will post 8.01 earnings per share for the current year.

Insider Buying and Selling at Amazon.com

In other Amazon.com news, CEO Andrew R. Jassy sold 20,000 shares of the stock in a transaction dated Friday, August 21st. The shares were sold at an average price of $259.01, for a total transaction of $5,180,200.00. Following the transaction, the chief executive officer directly owned 2,235,766 shares in the company, valued at $579,085,751.66. This represents a 0.89% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Brian T. Olsavsky sold 6,172 shares of the firm's stock in a transaction dated Friday, August 21st. The shares were sold at an average price of $260.31, for a total transaction of $1,606,633.32. Following the transaction, the chief financial officer directly owned 109,207 shares in the company, valued at $28,427,674.17. This trade 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. In the last ninety days, insiders have sold 71,589 shares of company stock worth $18,568,785. Insiders own 8.90% of the company's stock.

Amazon.com Profile

Amazon.com, Inc is a global technology and e-commerce company that operates online marketplaces and provides a broad range of consumer products and services. Its retail business sells merchandise directly to customers and enables third-party sellers to offer products through Amazon's websites and applications. The company also operates physical stores and provides services such as digital content, subscriptions, and consumer devices, including Kindle and Echo products.

Amazon Web Services (AWS) provides cloud computing, storage, database, analytics, artificial intelligence, machine learning, and other technology services to businesses, governments, and organizations.

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