Madison Wealth Partners Inc Invests $5.77 Million in Amazon.com, Inc. $AMZN

Key Points

• Madison Wealth Partners initiated a $5.77 million Amazon position, purchasing 24,219 shares during the second quarter. Amazon now represents approximately 0.7% of the firm’s portfolio, while institutional investors collectively own 72.2% of the stock.
• 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. Shares opened at $253.71, below the average analyst price target of $321.19.
• Analysts maintain a broadly positive outlook, with 56 Buy ratings and three Holds, but investors remain concerned about regulatory scrutiny and roughly $220 billion in planned capital expenditures that could weigh on free cash flow.

Madison Wealth Partners Inc bought a new stake in shares of Amazon.com, Inc. (NASDAQ:AMZN - Free Report) during the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm bought 24,219 shares of the e-commerce giant's stock, valued at approximately $5,772,000. Amazon.com accounts for about 0.7% of Madison Wealth Partners Inc's portfolio, making the stock its 21st largest position.

Other institutional investors and hedge funds have also recently modified their holdings of the company. Trust Asset Management LLC increased its position in shares of Amazon.com by 3.3% in the second quarter. Trust Asset Management LLC now owns 107,563 shares of the e-commerce giant's stock valued at $26,000 after buying an additional 3,414 shares in the last quarter. Bard Associates Inc. purchased a new position in shares of Amazon.com during the 2nd quarter valued at approximately $32,000. Longfellow Investment Management Co. LLC purchased a new position in shares of Amazon.com during the 2nd quarter valued at approximately $33,000. MilWealth Group LLC grew its stake in Amazon.com by 79.0% in the 4th quarter. MilWealth Group LLC now owns 179 shares of the e-commerce giant's stock valued at $41,000 after acquiring an additional 79 shares during the period. Finally, Lifetime Wealth Management P.C. acquired a new stake in Amazon.com in the 4th quarter valued at $45,000. Hedge funds and other institutional investors own 72.20% of the company's stock.

Amazon.com Price Performance

Shares of NASDAQ AMZN opened at $253.71 on Friday. The firm has a 50-day simple moving average of $256.09 and a 200-day simple moving average of $245.60. The stock has a market capitalization of $2.74 trillion, a price-to-earnings ratio of 20.41, a price-to-earnings-growth ratio of 1.97 and a beta of 1.44. 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.

Amazon.com (NASDAQ:AMZN - Get Free Report) last posted its quarterly earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share for the quarter, topping the consensus estimate of $1.82 by $3.93. The firm had revenue of $200.61 billion for 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 company's revenue for the quarter was up 19.6% on a year-over-year basis. During the same period last year, the firm posted $1.68 earnings per share. On average, equities analysts predict that Amazon.com, Inc. will post 8.01 earnings per share for the current fiscal year.

Key Stories Impacting Amazon.com

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

• Positive Sentiment: Amazon agreed to purchase up to $8 billion of backup generators from Generac, including approximately $2.4 billion of deliveries in 2027–2028. The deal should help Amazon bring AWS data centers online despite grid-connection delays and power shortages, while Amazon receives warrants to purchase Generac shares. Generac Plugs into Amazon for an $8B AI-Powered Deal
• Positive Sentiment: Analysts and investors continue to point to accelerating AWS demand, with reports citing a $169 billion annualized revenue run rate and a large cloud backlog. That supports expectations that AI-related infrastructure spending can translate into future sales, despite near-term cash-flow pressure. Amazon’s Andy Jassy Just Made a Startling Prediction
• Positive Sentiment: Project Mercury aims to expand Amazon’s same-day delivery network to more than 1,000 hubs by 2031. Bank of America called the initiative strategically important as Amazon attempts to narrow Walmart’s proximity and convenience advantage. Amazon’s secret weapon against Walmart could be a massive blitz in same-day delivery
• Positive Sentiment: AWS made its AI-powered hiring product, Amazon Connect Talent, generally available, expanding Amazon’s enterprise AI offerings beyond cloud infrastructure. Amazon has also received favorable attention from UBS analysts among top technology stock picks.
• Neutral Sentiment: Amazon is promoting industry and government cooperation on AI safety standards, emphasizing testing before release without calling for a broader slowdown in development. The stance may improve trust but is unlikely to materially change near-term results. Amazon Urges Industry and Government Partnership on AI Safeguards
• Negative Sentiment: Amazon faces European Commission scrutiny over marketplace rules that may restrict sellers from offering lower prices elsewhere, creating potential regulatory and compliance costs.
• Negative Sentiment: Investors remain concerned that roughly $220 billion of planned 2026 capital expenditures could keep free cash flow negative. Higher wages, delivery costs and possible electricity-grid charges for data centers add to the spending burden.
• Negative Sentiment: U.S. senators have urged the FTC to investigate Amazon’s AI shopping tools over alleged suppression of U.S.-made products and misleading “Made in USA” labels. The company also continues to face reputational and legal attention related to its Prime settlement.

Analysts Set New Price Targets

A number of equities analysts have weighed in on AMZN shares. Evercore set a $355.00 price objective on shares of Amazon.com and gave the stock an "outperform" rating in a research report on Friday, August 28th. Zacks Research cut shares of Amazon.com from a "strong-buy" rating to a "hold" rating in a research note on Monday, September 14th. Cantor Fitzgerald reissued an "overweight" rating and set a $320.00 target price (down from $330.00) on shares of Amazon.com in a research note on Friday, July 31st. Wolfe Research restated an "outperform" rating and set a $315.00 price target on shares of Amazon.com in a research report on Friday, July 31st. Finally, Needham & Company LLC reaffirmed a "buy" rating and issued a $300.00 price target on shares of Amazon.com in a research note on Friday, July 31st. Fifty-six investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company's stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $321.19.

Insider Buying and Selling

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 value of $5,180,200.00. Following the completion of the sale, 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 ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Shelley Reynolds sold 2,343 shares of the stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $259.01, for a total value of $606,860.43. Following the completion of the sale, the vice president directly owned 119,780 shares of the company's stock, valued at approximately $31,024,217.80. This represents a 1.92% 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. Insiders have sold 71,589 shares of company stock worth $18,568,785 in the last 90 days. 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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