Encompass More Asset Management Acquires 4,281 Shares of Amazon.com, Inc. $AMZN

Key Points

• Encompass More Asset Management increased its Amazon stake by 31.4% in the third quarter, purchasing 4,281 shares to bring its holdings to 17,923 shares valued at approximately $4.47 million. Institutional investors and hedge funds own 72.2% of Amazon’s stock.
• Amazon reported strong quarterly results, with $5.75 in earnings per share and $200.61 billion in revenue, exceeding analyst expectations; revenue rose 19.6% year over year. Analysts maintain a largely bullish outlook, with a consensus “Moderate Buy” rating and a $325.12 price target.
• AWS growth and AI-related demand are key potential catalysts, but heavy infrastructure spending and rising AI usage costs could pressure margins and free cash flow. Options markets imply an unusually large post-earnings move of about 7%.

Encompass More Asset Management increased its holdings in shares of Amazon.com, Inc. (NASDAQ:AMZN - Free Report) by 31.4% in the third quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 17,923 shares of the e-commerce giant's stock after purchasing an additional 4,281 shares during the quarter. Encompass More Asset Management's holdings in Amazon.com were worth $4,465,000 as of its most recent filing with the SEC.

Several other hedge funds have also recently bought and sold shares of the stock. TOP Private Wealth LLC. bought a new stake in Amazon.com in the 2nd quarter valued at $29,000. Bard Associates Inc. acquired a new position in Amazon.com in the 2nd quarter worth $32,000. Longfellow Investment Management Co. LLC acquired a new position in Amazon.com in the 2nd quarter worth $33,000. Atomic Invest LLC increased its holdings in Amazon.com by 41.2% during the 2nd quarter. Atomic Invest LLC now owns 168 shares of the e-commerce giant's stock worth $40,000 after purchasing an additional 49 shares in the last quarter. Finally, Strategic Wealth Advisors LLC bought a new position in Amazon.com during the 2nd quarter worth about $68,000. 72.20% of the stock is currently owned by institutional investors and hedge funds.

Amazon.com Trading Up 0.6%

Amazon.com stock opened at $254.60 on Thursday. The firm has a 50-day moving average of $255.11 and a 200-day moving average of $243.14. Amazon.com, Inc. has a one year low of $196.00 and a one year high of $287.20. The company has a debt-to-equity ratio of 0.23, a current ratio of 1.03 and a quick ratio of 0.87. The company has a market cap of $2.75 trillion, a price-to-earnings ratio of 20.48, a P/E/G ratio of 2.04 and a beta of 1.45.

Amazon.com (NASDAQ:AMZN - Get Free Report) last released its earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.82 by $3.93. Amazon.com had a return on equity of 18.00% and a net margin of 17.44%. The business had revenue of $200.61 billion for the quarter, compared to the consensus estimate of $197.03 billion. During the same quarter in the previous year, the business earned $1.68 earnings per share. Amazon.com's quarterly revenue was up 19.6% on a year-over-year basis. On average, equities analysts expect that Amazon.com, Inc. will post 7.55 earnings per share for the current fiscal year.

More Amazon.com News

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

• Positive Sentiment: AWS growth is the central bullish argument. Analysts expect strong cloud acceleration, supported by AI partnerships, a reported $496 billion backlog and capacity that is largely booked through 2026. UBS also argues that Wall Street may be underestimating AWS’s potential profitability. Will Strong AWS Performance Boost Amazon’s Q3 Earnings Report?
• Positive Sentiment: Amazon’s earnings valuation looks relatively supportive. Commentary highlights a forward P/E near its lowest level in roughly five years, while analysts remain optimistic that rising AWS margins, advertising growth and operating leverage could drive earnings higher. Amazon’s EPS Is Absolutely Exploding
• Positive Sentiment: FCC approval of Amazon Leo’s $11.5 billion Globalstar acquisition advances Amazon’s satellite and direct-to-device connectivity ambitions, potentially expanding its long-term technology platform beyond retail and cloud computing. US agency approves Amazon Leo’s acquisition of Globalstar
• Neutral Sentiment: Options markets imply an unusually large post-earnings move of about 7%. This reflects significant event risk rather than a clear directional signal, with investors weighing bullish AWS expectations against spending and margin concerns. Traders Are Pricing a 7% Swing in Amazon Ahead of Earnings
• Negative Sentiment: Heavy AI infrastructure investment remains the principal risk. Rising capital expenditures could weigh on near-term margins, free cash flow and returns, even if AWS demand is strong. Investors will scrutinize capex guidance and management’s evidence that AI spending is producing profitable growth. The real way to tell if Amazon’s AI spending is paying off
• Negative Sentiment: Amazon is reportedly scrutinizing AI usage costs. Guidance telling engineers not to maximize AI token usage suggests the company is focused on controlling rapidly rising computing expenses. Reports also indicate that Alexa+ could incur approximately $1.7 billion in cloud costs in 2026. Amazon warns against tokenmaxxing

Insider Activity

In other news, CEO Andrew R. Jassy sold 20,000 shares of the company's stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $259.01, for a total transaction of $5,180,200.00. Following the sale, the chief executive officer 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 document filed with the SEC, which is available at 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 company'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 sale, the senior vice president owned 41,190 shares in the company, valued at approximately $10,699,926.30. This 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 ninety days, insiders sold 71,589 shares of company stock valued at $18,580,515. Corporate insiders own 8.90% of the company's stock.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on the company. UBS Group reissued a "buy" rating and issued a $348.00 price target (up from $318.00) on shares of Amazon.com in a research note on Monday. The Goldman Sachs Group reaffirmed a "buy" rating and set a $375.00 price objective (up from $335.00) on shares of Amazon.com in a research report on Friday, July 31st. JPMorgan Chase & Co. increased their price objective on Amazon.com from $330.00 to $365.00 and gave the stock an "overweight" rating in a report on Friday, July 31st. Tigress Financial reiterated a "buy" rating and set a $385.00 price objective (up from $315.00) on shares of Amazon.com in a report on Tuesday, October 6th. Finally, Wolfe Research reissued an "outperform" rating and issued a $315.00 target price on shares of Amazon.com in a research report on Friday, July 31st. 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 has an average rating of "Moderate Buy" and a consensus price target of $325.12.

Amazon.com Profile

Amazon.com, Inc is a global technology and e-commerce company founded by Jeff Bezos in 1994. Originally launched as an online bookstore, the company has expanded into a broad digital marketplace offering consumer products across numerous categories, including electronics, household goods, apparel, groceries and other merchandise. Amazon also sells products under its own brands and provides logistics, fulfillment and delivery services that support its retail operations and third-party sellers.

The company's principal businesses include online and physical retail, Amazon Web Services (AWS), digital advertising, subscription services and consumer technology.

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