Montanova Capital LLC Lowers Stake in Amazon.com, Inc. $AMZN

Key Points

• Montanova Capital reduced its Amazon stake by 19.3% in the second quarter, selling 49,149 shares and retaining 204,860 shares valued at approximately $48.8 million. Institutional investors collectively own 72.2% of Amazon.
• Amazon reported quarterly earnings of $5.75 per share, well above the $1.82 consensus estimate, while revenue rose 19.6% year over year to $200.61 billion. AWS and AI remain key growth drivers, though model commoditization could pressure cloud margins.
• Analyst sentiment remains positive, with a consensus rating of “Moderate Buy” and an average price target of $321.19 versus the reported share price of $246.67. Amazon insiders sold about $18.3 million of stock during the last quarter under pre-arranged trading plans.

Montanova Capital LLC reduced its position in Amazon.com, Inc. (NASDAQ:AMZN) by 19.3% in the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 204,860 shares of the e-commerce giant's stock after selling 49,149 shares during the quarter. Montanova Capital LLC's holdings in Amazon.com were worth $48,826,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors have also recently made changes to their positions in AMZN. Trust Asset Management LLC lifted its holdings in Amazon.com by 3.3% during the second quarter. Trust Asset Management LLC now owns 107,563 shares of the e-commerce giant's stock valued at $26,000 after purchasing an additional 3,414 shares during the last quarter. Bard Associates Inc. bought a new stake in shares of Amazon.com in the second quarter valued at approximately $32,000. Longfellow Investment Management Co. LLC purchased a new stake in shares of Amazon.com during the 2nd quarter valued at approximately $33,000. Lifetime Wealth Management P.C. bought a new position in Amazon.com in the 4th quarter worth approximately $45,000. Finally, Prudent Man Investment Management Inc. grew its stake in Amazon.com by 87.7% in the 4th quarter. Prudent Man Investment Management Inc. now owns 229 shares of the e-commerce giant's stock valued at $53,000 after buying an additional 107 shares in the last quarter. Hedge funds and other institutional investors own 72.20% of the company's stock.

Amazon.com Price Performance

Shares of NASDAQ:AMZN opened at $246.67 on Wednesday. The company's fifty day moving average price is $256.29 and its 200-day moving average price is $247.66. 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 firm has a market capitalization of $2.66 trillion, a price-to-earnings ratio of 19.84, a PEG ratio of 1.91 and a beta of 1.44. Amazon.com, Inc. has a one year low of $196.00 and a one year high of $287.20.

Amazon.com (NASDAQ:AMZN - Get Free Report) last announced its earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.82 by $3.93. Amazon.com had a net margin of 17.44% and a return on equity of 18.00%. The company had revenue of $200.61 billion during the quarter, compared to analyst estimates of $197.03 billion. During the same period in the previous year, the business earned $1.68 earnings per share. The firm's quarterly revenue was up 19.6% compared to the same quarter last year. On average, equities research analysts anticipate that Amazon.com, Inc. will post 8.01 earnings per share for the current fiscal year.

Insider Activity at Amazon.com

In other Amazon.com news, CEO Matthew Garman sold 14,541 shares of the stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $259.06, for a total transaction of $3,766,991.46. Following the transaction, the chief executive officer directly owned 17,794 shares in the company, valued at $4,609,713.64. This trade represents a 44.97% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Douglas J. Herrington sold 6,362 shares of Amazon.com 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 $1,647,821.62. Following the transaction, the chief executive officer directly owned 476,681 shares in the company, valued at $123,465,145.81. This trade represents a 1.32% 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. Insiders sold a total of 70,589 shares of company stock worth $18,329,015 in the last quarter. 8.90% of the stock is owned by company insiders.

Key Amazon.com News

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

• Positive Sentiment: AWS and AI remain the main growth catalysts. Amazon’s Bedrock platform is expanding its selection of models, including GPT-6 and Claude, while analysts argue that rising AI workloads could support faster AWS growth and higher margins. Lower model costs may also increase overall cloud consumption. Amazon Stock Slips as Bedrock Expands Model Choice
• Positive Sentiment: AI infrastructure partnerships are broadening. Australian biotech CSL is working with Amazon Web Services on AI and cloud tools for research and clinical development. Amazon is also building data-center infrastructure and its own satellite network, creating potential long-term growth opportunities beyond retail. Australia's CSL taps Amazon's cloud unit
• Positive Sentiment: Holiday demand expectations are favorable. Adobe projects roughly $10 billion in spending during Amazon’s October Prime Day and forecasts record U.S. holiday e-commerce sales. Strong consumer demand could support fourth-quarter revenue, although aggressive discounts may limit margins. Amazon Has a $10 Billion Holiday Catalyst Coming in October
• Neutral Sentiment: Amazon is gaining political visibility in AI. Founder Jeff Bezos joined other technology leaders at a White House meeting where President Trump said AI companies should largely self-police. The discussion could influence future regulation, but its direct financial impact remains unclear. Trump says AI leaders have to self-police AI technology
• Negative Sentiment: Model commoditization is pressuring AWS economics. Cheaper Claude models and more competing providers on Bedrock could reduce revenue per inference call and intensify price competition, even if usage volumes rise.
• Negative Sentiment: Regulatory and legal risks are increasing. Senate Democrats are seeking details on Amazon’s AI and data-center tax deductions, while a revived U.K. consumer lawsuit alleges that Amazon and Apple restricted competition in Apple-product sales. Amazon Draws Senate Questions Over AI Data Center Tax Deductions

Wall Street Analyst Weigh In

Several equities research analysts have issued reports on AMZN shares. Deutsche Bank Aktiengesellschaft restated a "buy" rating and set a $325.00 target price (up from $315.00) on shares of Amazon.com in a research report on Friday, July 31st. Raymond James Financial restated an "outperform" rating and issued a $390.00 target price (up from $280.00) on shares of Amazon.com in a research note on Friday, July 31st. Phillip Securities cut Amazon.com from a "strong-buy" rating to a "moderate buy" rating in a research report on Monday, August 3rd. Wolfe Research restated an "outperform" rating and issued a $315.00 price objective on shares of Amazon.com in a research report on Friday, July 31st. Finally, Mizuho set a $330.00 target price on shares of Amazon.com and gave the stock an "outperform" rating in a report 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 stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $321.19.

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.

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