FSA Advisors Inc. Buys New Stake in Amazon.com, Inc. $AMZN

Key Points

• FSA Advisors initiated a stake in Amazon, purchasing 5,641 shares worth approximately $1.35 million in the second quarter. Institutional investors and hedge funds collectively own 72.2% of Amazon’s stock.
• Wall Street remains broadly bullish: 56 analysts rate Amazon a Buy and three rate it a Hold, producing a “Moderate Buy” consensus and an average price target of $321.19.
• Amazon reported quarterly revenue of $200.61 billion, up 19.6% year over year, and earnings of $5.75 per share, well above expectations. However, investors remain concerned about whether massive AI infrastructure spending will generate sufficient returns, alongside execution risks from its India expansion.

FSA Advisors Inc. purchased a new position in shares of Amazon.com, Inc. (NASDAQ:AMZN) in the 2nd quarter, according to its most recent Form 13F filing with the SEC. The firm purchased 5,641 shares of the e-commerce giant's stock, valued at approximately $1,346,000.

Other hedge funds have also added to or reduced their stakes in the company. Harvey Capital Management Inc. acquired a new position in shares of Amazon.com in the 2nd quarter valued at approximately $37,191,000. N10 Assets LLC acquired a new stake in shares of Amazon.com during the 2nd quarter worth approximately $15,663,000. Coastal Bridge Advisors LLC bought a new position in Amazon.com in the second quarter valued at approximately $31,937,000. Public Employees Retirement System of Ohio bought a new position in Amazon.com in the second quarter valued at approximately $909,868,000. Finally, MASTERINVEST Kapitalanlage GmbH acquired a new position in Amazon.com during the second quarter valued at approximately $37,025,000. 72.20% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

AMZN has been the subject of several recent analyst reports. Truist Financial upped their target price on Amazon.com from $320.00 to $350.00 and gave the stock a "buy" rating in a research note on Friday, July 31st. Wells Fargo & Company reiterated an "overweight" rating and issued a $338.00 price target (up from $328.00) on shares of Amazon.com in a research note on Thursday, September 3rd. Jefferies Financial Group reissued a "buy" rating on shares of Amazon.com in a report on Thursday, June 18th. Wedbush upped their price objective on Amazon.com from $293.00 to $310.00 and gave the stock an "outperform" rating in a research report on Friday, July 31st. Finally, Bank of America raised their price objective on Amazon.com from $310.00 to $320.00 and gave the company a "buy" rating in a research note on Friday, July 31st. Fifty-six 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 a consensus rating of "Moderate Buy" and an average price target of $321.19.

Key Headlines Impacting Amazon.com

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

• Positive Sentiment: AWS and AI infrastructure remain the central bullish case. Analysts and commentators argue that Amazon’s roughly $200 billion 2026 capital-expenditure plan reflects substantial demand for AWS computing, custom chips and AI capacity. Amazon is also reportedly preparing to receive approximately $2.4 billion in backup-generator orders from Generac in 2027 and 2028, underscoring the scale of its data-center expansion. Amazon AI capital expenditures article Generac data-center orders article
• Positive Sentiment: Expansion of merchant services could broaden revenue beyond Amazon.com. New tools let sellers manage listings, inventory and orders across channels including Walmart, Shopify, TikTok and eBay. Amazon is also extending Prime delivery and fulfillment services to merchants’ own websites, potentially increasing third-party logistics revenue and seller dependence on its ecosystem. Amazon merchant services article
• Neutral Sentiment: Anthropic remains strategically important, but its infrastructure is becoming more diversified. Anthropic committed about $11.6 billion to an Akamai CPU agreement, which can be viewed as a setback for AWS. However, Amazon retains a major equity stake and an ongoing AWS relationship, limiting the immediate financial impact. Anthropic Akamai agreement article
• Negative Sentiment: Investors remain concerned that AI spending may outpace monetization. Goldman Sachs estimates hyperscalers may need roughly $300 billion in additional AI revenue to justify their investments, while Michael Burry and Jefferies’ Chris Wood have warned of leverage, overcapacity and potential write-offs. Those concerns could pressure AMZN’s valuation despite strong AWS demand. Goldman Sachs AI spending article
• Negative Sentiment: Amazon’s $3 billion India quick-commerce investment adds near-term cost and execution risk while the company attempts to catch rivals with a relatively small market share. The decision to block Meta’s Muse shopping agent also risks diverting AI-driven purchases toward Shopify and other platforms. Amazon India investment article

Amazon.com Stock Up 0.1%

Shares of Amazon.com stock opened at $249.67 on Friday. The stock's 50-day moving average is $256.39 and its 200 day moving average is $246.96. Amazon.com, Inc. has a one year low of $196.00 and a one year high of $287.20. The firm has a market cap of $2.69 trillion, a price-to-earnings ratio of 20.09, a PEG ratio of 1.93 and a beta of 1.44. The company has a debt-to-equity ratio of 0.23, a current ratio of 1.03 and a quick ratio of 0.87.

Amazon.com (NASDAQ:AMZN - Get Free Report) last issued its earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share for the quarter, topping 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 during the quarter, compared to the consensus estimate of $197.03 billion. During the same period in the previous year, the company posted $1.68 earnings per share. The firm's revenue for the quarter was up 19.6% on a year-over-year basis. Equities research analysts anticipate that Amazon.com, Inc. will post 8.01 EPS for the current year.

Insider Activity at Amazon.com

In related news, CEO Douglas J. Herrington sold 1,000 shares of the stock in a transaction 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 of the company's stock, valued at $121,189,248.37. This represents a 0.21% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed 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 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 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 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 have sold 71,589 shares of company stock worth $18,568,785. Corporate 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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