Light Street Capital Management LLC Sells 73,800 Shares of Amazon.com, Inc. $AMZN

Key Points

• Light Street Capital Management cut its Amazon position by 59.1% in the second quarter, selling 73,800 shares and retaining 51,000 shares valued at approximately $12.2 million.
• Institutional investors own 72.2% of Amazon, while company insiders sold 71,589 shares worth about $18.6 million over the past 90 days, including sales by CEOs Andrew Jassy and Matthew Garman under pre-arranged trading plans.
• Wall Street remains broadly bullish, with a “Moderate Buy” consensus, a $322.86 average price target, and analysts highlighting AWS and AI growth despite concerns about heavy AI infrastructure spending and pressure on free cash flow.

Light Street Capital Management LLC lowered its position in Amazon.com, Inc. (NASDAQ:AMZN - Free Report) by 59.1% in the second quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 51,000 shares of the e-commerce giant's stock after selling 73,800 shares during the quarter. Amazon.com accounts for approximately 1.4% of Light Street Capital Management LLC's holdings, making the stock its 21st biggest holding. Light Street Capital Management LLC's holdings in Amazon.com were worth $12,155,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also made changes to their positions in AMZN. Auto Owners Insurance Co increased its holdings in 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 acquiring an additional 98,090,585 shares in the last quarter. Bank of New York Mellon Corp purchased a new position in shares of Amazon.com during the 2nd quarter worth approximately $16,341,405,000. Legal & General Group Plc purchased a new position in shares of Amazon.com during the 2nd quarter worth approximately $12,831,376,000. Mitsubishi UFJ Asset Management Co. Ltd. purchased a new position in shares of Amazon.com during the 2nd quarter worth approximately $6,631,466,000. Finally, Jupiter Topco LLC acquired a new position in shares of Amazon.com during the 2nd quarter worth approximately $5,910,083,000. Institutional investors and hedge funds own 72.20% of the company's stock.

Insider Buying and Selling at Amazon.com

In other news, CEO Andrew 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 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 firm's stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $259.06, for a total transaction of $3,766,991.46. Following the completion of the sale, the chief executive officer directly owned 17,794 shares in the company, valued at $4,609,713.64. This represents a 44.97% 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 90 days, insiders sold 71,589 shares of company stock worth $18,580,515. 8.90% of the stock is currently owned by insiders.

Amazon.com News Roundup

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

• Positive Sentiment: Analysts see AWS and Amazon’s AI services as major growth drivers. AWS sales reportedly rose 37% to $42.2 billion, while Amazon’s AI business surpassed a $25 billion annual revenue run rate. Analysts also view AI agents as potentially increasing commerce activity rather than undermining Amazon’s model. Amazon AI Boom
• Positive Sentiment: The FCC is preparing to vote on auctioning prime spectrum for satellite-to-smartphone services, a move that could benefit Amazon’s satellite ambitions and expand future connectivity opportunities. FCC Spectrum Auction
• Positive Sentiment: Prime Big Deal Days provides a near-term test of consumer demand and a potential boost to fourth-quarter retail sales. Amazon is also expanding Prime Video’s reach through a six-year global deal to stream the Emmy Awards free to viewers, supporting advertising and audience growth. Amazon Emmy Streaming Deal
• Positive Sentiment: ARK Invest reportedly purchased approximately $31 million of Amazon shares, adding a supportive institutional-investor signal. ARK Invest Buys Amazon
• Neutral Sentiment: A proposed structure involving roughly $8 billion of Nvidia chips could help Amazon finance AI infrastructure and preserve capital flexibility, but it also underscores the substantial cost and financing burden of the AWS expansion. Amazon Nvidia Chip Financing
• Negative Sentiment: Investors remain concerned that aggressive AI capital spending could pressure free cash flow before new data centers generate sufficient returns. Rising interest rates, power constraints and possible delays in infrastructure deployment add to the risk. Amazon Data Center Spending Risks
• Negative Sentiment: Prime Big Deal Days is occurring amid weak consumer confidence, creating uncertainty over the strength and profitability of promotional sales. Public attention to Amazon’s highly detailed customer profiles could also create privacy-related reputational risk. Amazon Customer Profiles

Wall Street Analyst Weigh In

A number of research firms recently issued reports on AMZN. Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and issued a $325.00 target price (up from $315.00) on shares of Amazon.com in a research note on Friday, July 31st. Sanford C. Bernstein reissued an "outperform" rating and set a $320.00 price target (up from $315.00) on shares of Amazon.com in a research report on Friday, July 31st. Jefferies Financial Group reissued a "buy" rating on shares of Amazon.com in a report on Thursday, June 18th. The Goldman Sachs Group restated a "buy" rating and issued a $375.00 price objective (up from $335.00) on shares of Amazon.com in a research report on Friday, July 31st. Finally, Bank of America increased 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 stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $322.86.

Amazon.com Price Performance

Shares of NASDAQ:AMZN opened at $259.92 on Thursday. The company has a market cap of $2.80 trillion, a P/E ratio of 20.91, a P/E/G ratio of 1.98 and a beta of 1.45. 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, Inc. has a 52 week low of $196.00 and a 52 week high of $287.20. The business has a fifty day simple moving average of $258.64 and a 200-day simple moving average of $249.45.

Amazon.com (NASDAQ:AMZN - Get Free Report) last released its earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 EPS for the quarter, beating 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 firm had revenue of $200.61 billion during the quarter, compared to analyst estimates of $197.03 billion. During the same period in the prior year, the firm posted $1.68 earnings per share. The business's quarterly revenue was up 19.6% compared to the same quarter last year. Equities research analysts forecast that Amazon.com, Inc. will post 8.03 EPS for the current year.

Amazon.com Profile

Amazon.com, Inc is a global technology and commerce company that operates online marketplaces, physical stores, and a broad portfolio of digital and cloud-based services. The company offers consumer products across categories such as electronics, household goods, apparel, groceries, and entertainment, while also providing third-party sellers with tools for listing, selling, and fulfilling orders.

Amazon's major businesses include Amazon Web Services (AWS), which provides cloud computing, storage, database, analytics, and artificial intelligence services; Prime, a membership program that includes shipping, streaming, and other benefits; and digital entertainment services such as Prime Video, Amazon Music, Kindle, and Audible.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.