CM Wealth Advisors LLC Purchases New Position in Amazon.com, Inc. $AMZN

Key Points

• CM Wealth Advisors LLC bought 13,223 Amazon shares worth approximately $3.15 million in the second quarter, making Amazon its 13th-largest holding at about 0.6% of the portfolio.
• Amazon reported quarterly earnings of $5.75 per share, far exceeding the $1.82 consensus estimate, while revenue rose 19.6% year over year to $200.61 billion.
• Analysts remain broadly positive, with Amazon receiving a consensus “Moderate Buy” rating and an average price target of $323.26, compared with a reported share price of $248.42.

CM Wealth Advisors LLC bought a new position in Amazon.com, Inc. (NASDAQ:AMZN - Free Report) in the 2nd quarter, according to the company in its most recent Form 13F filing with the SEC. The institutional investor bought 13,223 shares of the e-commerce giant's stock, valued at approximately $3,152,000. Amazon.com makes up approximately 0.6% of CM Wealth Advisors LLC's portfolio, making the stock its 13th largest holding.

Other institutional investors also recently modified their holdings of the company. Auto Owners Insurance Co grew its stake in shares of Amazon.com by 27,376.7% in the fourth quarter. Auto Owners Insurance Co now owns 98,448,885 shares of the e-commerce giant's stock worth $2,272,397,000 after acquiring an additional 98,090,585 shares during the last quarter. Bank of New York Mellon Corp purchased a new stake in Amazon.com in the second quarter worth approximately $16,341,405,000. Amundi grew its holdings in shares of 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 acquiring an additional 7,590,952 shares during the period. Invesco Ltd. increased its position in shares of Amazon.com by 3.3% during the 4th quarter. Invesco Ltd. now owns 59,604,857 shares of the e-commerce giant's stock valued at $13,757,993,000 after purchasing an additional 1,879,630 shares during the last quarter. Finally, Dimensional Fund Advisors LP increased its holdings 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 buying an additional 7,305,560 shares during the last quarter. 72.20% of the stock is currently owned by institutional investors.

Amazon.com Price Performance

NASDAQ:AMZN opened at $248.42 on Wednesday. The stock has a market capitalization of $2.68 trillion, a PE ratio of 19.99, a price-to-earnings-growth ratio of 1.95 and a beta of 1.44. Amazon.com, Inc. has a 52 week low of $196.00 and a 52 week high of $287.20. The stock's 50-day moving average price is $255.80 and its 200-day moving average price is $244.98. The company has a quick ratio of 0.87, a current ratio of 1.03 and a debt-to-equity ratio of 0.23.

Amazon.com (NASDAQ:AMZN - Get Free Report) last posted 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. Amazon.com had a return on equity of 18.00% and a net margin of 17.44%.The company had revenue of $200.61 billion during the quarter, compared to analyst estimates of $197.03 billion. During the same period in the previous year, the business earned $1.68 EPS. Amazon.com's quarterly revenue was up 19.6% on a year-over-year basis. As a group, equities analysts expect that Amazon.com, Inc. will post 8.05 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of research analysts have recently weighed in on AMZN shares. Citigroup reaffirmed a "market outperform" rating on shares of Amazon.com in a research report on Friday, August 14th. 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. Cantor Fitzgerald reaffirmed an "overweight" rating and set a $320.00 price objective (down from $330.00) on shares of Amazon.com in a research note on Friday, July 31st. Zacks Research upgraded Amazon.com from a "hold" rating to a "strong-buy" rating in a report on Tuesday, August 4th. Finally, Pivotal Research restated a "buy" rating and set a $333.00 price target (up from $320.00) on shares of Amazon.com in a research note on Friday, July 31st. One investment analyst has rated the stock with a Strong Buy rating, fifty-six have assigned a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat, Amazon.com has a consensus rating of "Moderate Buy" and an average target price of $323.26.

Key Stories Impacting Amazon.com

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

• Positive Sentiment: Large AI infrastructure commitments support AWS growth. Amazon reportedly could purchase up to $60 billion of Qualcomm AI chips, while its partnership with Wiwynn will expand U.S. server manufacturing capacity and create nearly 1,000 jobs. These developments reinforce Amazon’s long-term investment in cloud and artificial-intelligence infrastructure. Amazon Could Buy Up to $60 Billion From Qualcomm
• Positive Sentiment: Anthropic stake and operating outlook remain potential value drivers. Reports that Anthropic expects a second consecutive quarter of adjusted operating profit—and could pursue a valuation of as much as $2 trillion—highlight the potential value of Amazon’s roughly $13 billion investment in the AI developer. Anthropic Expects a Second Straight Quarter of Adjusted Operating Profit
• Positive Sentiment: Retail and advertising initiatives offer additional support. Amazon India’s rapid-delivery service reportedly surpassed $1 billion in annualized sales, and the company scheduled Prime Big Deal Days for October 6–7. Amazon also expanded its advertising reach through a pilot with ChatGPT. Amazon India’s Amazon Now Tops $1 Billion
• Neutral Sentiment: Analysts remain broadly optimistic. Coverage indicates Amazon has no sell ratings and continued confidence in earnings, cash flow and AWS growth, although bullish ratings have not prevented near-term volatility. Is It Worth Investing in Amazon Based on Wall Street’s Bullish Views?
• Negative Sentiment: AWS cannot restore access to damaged facilities in Bahrain and the UAE. The prolonged loss of access to customer data and cloud availability zones raises concerns about service resilience, customer retention, potential costs and reputational damage. This was the most direct company-specific pressure on AMZN. AWS Unable to Restore Access After War Damage
• Negative Sentiment: Macro and competitive pressures weighed on technology stocks. Investors prepared for a Federal Reserve rate decision amid higher yields and oil prices, while commentary suggested AWS cloud growth is lagging Microsoft Azure and Google Cloud in AI. Amazon also paused operations with 21 Air after a fatal cargo-plane crash, adding logistics and reputational risk. Amazon Stock Slides: What’s Happening?

Insiders Place Their Bets

In other news, CEO Douglas J. Herrington sold 1,000 shares of the firm's stock in a transaction that occurred on Tuesday, September 1st. The shares were sold at an average price of $254.77, for a total transaction of $254,770.00. Following the transaction, the chief executive officer directly owned 475,681 shares in the company, valued at approximately $121,189,248.37. This trade represents a 0.21% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP David Zapolsky sold 9,258 shares of the firm's stock in a transaction 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 completion of the sale, the senior vice president owned 41,190 shares of the company's stock, valued at $10,699,926.30. This trade represents a 18.35% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 71,589 shares of company stock valued at $18,568,785. 8.90% of the stock is owned by company insiders.

About Amazon.com

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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