Fairtree Asset Management Pty Ltd Invests $13.15 Million in Amazon.com, Inc. $AMZN

Key Points

• Fairtree Asset Management initiated a $13.15 million Amazon position, buying 55,160 shares during the second quarter. Amazon now represents approximately 5% of the fund’s portfolio and is its third-largest holding.
• Institutional investors own 72.2% of Amazon, while recent business developments include major investments in AI and cloud infrastructure, expanded same-day delivery, and the launch of Alexa+ in India.
• Amazon reported strong quarterly results, with revenue up 19.6% year over year and EPS well above expectations. Analysts maintain a consensus “Moderate Buy” rating with an average price target of $323.26, though rising AI spending is pressuring free cash flow and AWS faces data-center recovery concerns.

Fairtree Asset Management Pty Ltd bought a new stake in shares of Amazon.com, Inc. (NASDAQ:AMZN - Free Report) during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund bought 55,160 shares of the e-commerce giant's stock, valued at approximately $13,147,000. Amazon.com makes up about 5.0% of Fairtree Asset Management Pty Ltd's investment portfolio, making the stock its 3rd largest holding.

Several other hedge funds and other institutional investors also recently modified their holdings of the stock. Auto Owners Insurance Co grew its holdings 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 worth $2,272,397,000 after acquiring an additional 98,090,585 shares during the period. Bank of New York Mellon Corp purchased a new position in shares of Amazon.com in the 2nd quarter valued at approximately $16,341,405,000. Mitsubishi UFJ Asset Management Co. Ltd. purchased a new position in shares of Amazon.com in the 2nd quarter valued at approximately $6,631,466,000. Danske Bank A S bought a new stake in shares of Amazon.com during the second quarter valued at approximately $2,494,705,000. Finally, Arrowstreet Capital Limited Partnership boosted its position in shares of Amazon.com by 32.1% during the first quarter. Arrowstreet Capital Limited Partnership now owns 32,578,171 shares of the e-commerce giant's stock valued at $6,785,036,000 after purchasing an additional 7,924,943 shares in the last quarter. Hedge funds and other institutional investors own 72.20% of the company's stock.

Amazon.com News Summary

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

• Positive Sentiment: Amazon agreed to a long-term deal with Generac to supply backup generators for its data centers. Initial deliveries are expected to total approximately $2.4 billion in 2027 and 2028, while Amazon received warrants to purchase up to roughly $340 million of Generac stock. The agreement signals continued expansion of Amazon’s AI and cloud infrastructure. Generac, Amazon strike $2.4 billion long-term generator supply deal
• Positive Sentiment: Amazon reportedly plans to expand its same-day delivery network from 85 locations to more than 1,000 hubs by 2031, potentially placing facilities within 10 miles of most U.S. Prime members. The strategy could improve delivery speed and strengthen Amazon’s retail moat. Amazon's next move could reshape how America shops
• Positive Sentiment: Amazon launched Alexa+ in India with Hindi-language support, expanding its conversational-AI ecosystem in a major growth market. Investors also continue to focus on strong AWS demand, advertising growth and Amazon’s stake in Anthropic as potential longer-term catalysts. Amazon launches Alexa+ in India with Hindi support
• Neutral Sentiment: Amazon raised minimum starting pay for U.S. core-operations employees to $20 per hour and added grocery and banking benefits. The move may support hiring and retention, but management expects the program to cost about $1.5 billion, creating near-term margin pressure. Amazon raises minimum hourly pay by $1 to $20
• Negative Sentiment: AWS said it cannot restore access to a Bahrain facility and one UAE availability zone damaged during the Iran conflict. The disclosure raises concerns about data recovery, customer trust and possible financial or regulatory consequences. Amazon's AWS is unable to restore access
• Negative Sentiment: Analyst commentary highlighted that AI-related capital expenditures are accelerating AWS growth but weighing on free cash flow and increasing reliance on debt. Separately, Zacks downgraded AMZN from “strong buy” to “hold,” adding to valuation and execution concerns. Amazon's AI Bet Is Paying Off in Revenues

Insider Transactions at Amazon.com

In related news, CEO Andrew Jassy sold 20,000 shares of Amazon.com stock in a transaction on Friday, August 21st. The stock was sold at an average price of $259.01, for a total value of $5,180,200.00. Following the completion of the sale, the chief executive officer owned 2,235,766 shares of the company's stock, valued at $579,085,751.66. The trade was a 0.89% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Matthew S. Garman sold 14,541 shares of the company's stock in a transaction on Friday, August 21st. The shares were sold at an average price of $259.06, for a total value of $3,766,991.46. Following the sale, the chief executive officer owned 17,794 shares of the company's stock, valued at approximately $4,609,713.64. This trade represents a 44.97% 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. Over the last quarter, insiders sold 71,589 shares of company stock worth $18,568,785. Company insiders own 8.90% of the company's stock.

Amazon.com Stock Down 1.0%

Shares of Amazon.com stock opened at $245.96 on Thursday. Amazon.com, Inc. has a twelve month low of $196.00 and a twelve month high of $287.20. The company has a quick ratio of 0.87, a current ratio of 1.03 and a debt-to-equity ratio of 0.23. The company's 50 day moving average is $255.84 and its 200 day moving average is $245.25. The company has a market cap of $2.65 trillion, a price-to-earnings ratio of 19.79, a price-to-earnings-growth ratio of 1.92 and a beta of 1.44.

Amazon.com (NASDAQ:AMZN - Get Free Report) last posted its earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 EPS for the quarter, topping analysts' consensus estimates of $1.82 by $3.93. The business had revenue of $200.61 billion during the quarter, compared to the consensus estimate of $197.03 billion. Amazon.com had a net margin of 17.44% and a return on equity of 18.00%. The firm's revenue was up 19.6% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.68 EPS. Research analysts anticipate that Amazon.com, Inc. will post 8.05 EPS for the current year.

Analysts Set New Price Targets

A number of equities analysts have issued reports on AMZN shares. Truist Financial increased their price objective on Amazon.com from $320.00 to $350.00 and gave the stock a "buy" rating in a report on Friday, July 31st. The Goldman Sachs Group reaffirmed a "buy" rating and issued a $375.00 target price (up from $335.00) on shares of Amazon.com in a research report on Friday, July 31st. Telsey Advisory Group set a $335.00 price target on shares of Amazon.com and gave the stock an "outperform" rating in a research note on Friday, July 31st. Weiss Ratings reissued a "buy (b)" rating on shares of Amazon.com in a research report on Monday, August 3rd. Finally, Wolfe Research reissued an "outperform" rating and set a $315.00 price objective on shares of Amazon.com in a research note on Friday, July 31st. Fifty-six research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $323.26.

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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