Northcape Wealth Management LLC Makes New $4.20 Million Investment in Amazon.com, Inc. $AMZN

Key Points

• Northcape Wealth Management initiated a $4.20 million Amazon stake by purchasing 17,605 shares in the second quarter, representing approximately 1.1% of its portfolio. Institutional investors collectively own 72.2% of AMZN.
• Amazon reported strong quarterly results, with revenue up 19.6% year over year and earnings of $5.75 per share versus the $1.82 consensus estimate. Analysts remain broadly bullish, with a “Moderate Buy” consensus and an average price target of $323.26.
• Amazon’s AI and cloud investments—including potential Qualcomm chip purchases and its Anthropic stake—support long-term growth, but AWS service disruptions, competitive pressure from Azure and Google Cloud, macroeconomic conditions, and recent insider selling remain risks.

Northcape Wealth Management LLC purchased a new stake in shares of Amazon.com, Inc. (NASDAQ:AMZN) during the second quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm purchased 17,605 shares of the e-commerce giant's stock, valued at approximately $4,196,000. Amazon.com accounts for about 1.1% of Northcape Wealth Management LLC's portfolio, making the stock its 28th biggest position.

Other large investors have also made changes to their positions in the company. Auto Owners Insurance Co lifted its holdings in Amazon.com by 27,376.7% in 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 purchasing an additional 98,090,585 shares in the last quarter. Bank of New York Mellon Corp bought a new position in Amazon.com in the 2nd quarter worth approximately $16,341,405,000. Amundi grew its holdings in Amazon.com by 14.1% during the 1st quarter. Amundi now owns 61,400,503 shares of the e-commerce giant's stock valued at $12,787,883,000 after buying an additional 7,590,952 shares in the last quarter. Invesco Ltd. grew its holdings in Amazon.com by 3.3% during the 4th quarter. Invesco Ltd. now owns 59,604,857 shares of the e-commerce giant's stock valued at $13,757,993,000 after buying an additional 1,879,630 shares in the last quarter. Finally, Dimensional Fund Advisors LP raised its position in shares of Amazon.com by 23.0% during the first quarter. Dimensional Fund Advisors LP now owns 39,029,984 shares of the e-commerce giant's stock valued at $8,126,338,000 after buying an additional 7,305,560 shares during the last quarter. 72.20% of the stock is currently owned by hedge funds and other institutional investors.

Amazon.com News Summary

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

• Positive Sentiment: Large AI infrastructure commitments support AWS growth. Amazon reportedly could purchase up to $60 billion of Qualcomm AI chips, while its partnership with Wiwynn will expand U.S. server manufacturing capacity and create nearly 1,000 jobs. These developments reinforce Amazon’s long-term investment in cloud and artificial-intelligence infrastructure. Amazon Could Buy Up to $60 Billion From Qualcomm
• Positive Sentiment: Anthropic stake and operating outlook remain potential value drivers. Reports that Anthropic expects a second consecutive quarter of adjusted operating profit—and could pursue a valuation of as much as $2 trillion—highlight the potential value of Amazon’s roughly $13 billion investment in the AI developer. Anthropic Expects a Second Straight Quarter of Adjusted Operating Profit
• Positive Sentiment: Retail and advertising initiatives offer additional support. Amazon India’s rapid-delivery service reportedly surpassed $1 billion in annualized sales, and the company scheduled Prime Big Deal Days for October 6–7. Amazon also expanded its advertising reach through a pilot with ChatGPT. Amazon India’s Amazon Now Tops $1 Billion
• Neutral Sentiment: Analysts remain broadly optimistic. Coverage indicates Amazon has no sell ratings and continued confidence in earnings, cash flow and AWS growth, although bullish ratings have not prevented near-term volatility. Is It Worth Investing in Amazon Based on Wall Street’s Bullish Views?
• Negative Sentiment: AWS cannot restore access to damaged facilities in Bahrain and the UAE. The prolonged loss of access to customer data and cloud availability zones raises concerns about service resilience, customer retention, potential costs and reputational damage. This was the most direct company-specific pressure on AMZN. AWS Unable to Restore Access After War Damage
• Negative Sentiment: Macro and competitive pressures weighed on technology stocks. Investors prepared for a Federal Reserve rate decision amid higher yields and oil prices, while commentary suggested AWS cloud growth is lagging Microsoft Azure and Google Cloud in AI. Amazon also paused operations with 21 Air after a fatal cargo-plane crash, adding logistics and reputational risk. Amazon Stock Slides: What’s Happening?

Insider Activity at Amazon.com

In related news, CFO Brian Olsavsky sold 6,172 shares of the company's stock in a transaction dated Friday, August 21st. The shares were sold at an average price of $260.31, for a total transaction of $1,606,633.32. Following the transaction, the chief financial officer directly owned 109,207 shares in the company, valued at approximately $28,427,674.17. This represents a 5.35% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Andrew Jassy sold 20,000 shares of the firm's stock in a transaction dated 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 directly owned 2,235,766 shares of the company's stock, valued at approximately $579,085,751.66. The trade was a 0.89% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 71,589 shares of company stock worth $18,568,785 in the last three months. 8.90% of the stock is owned by insiders.

Amazon.com Trading Down 2.0%

Shares of AMZN stock opened at $248.42 on Wednesday. The company has a market cap of $2.68 trillion, a PE ratio of 19.99, a price-to-earnings-growth ratio of 1.95 and a beta of 1.44. Amazon.com, Inc. has a 1 year low of $196.00 and a 1 year high of $287.20. The stock's 50 day simple moving average is $255.80 and its two-hundred day simple moving average is $244.98. 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 posted its quarterly earnings data on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share for the quarter, beating analysts' consensus estimates of $1.82 by $3.93. The business had revenue of $200.61 billion for the quarter, compared to analysts' expectations of $197.03 billion. Amazon.com had a net margin of 17.44% and a return on equity of 18.00%. The business's revenue was up 19.6% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.68 earnings per share. Research analysts predict that Amazon.com, Inc. will post 8.05 earnings per share for the current year.

Analyst Upgrades and Downgrades

Several research firms have recently commented on AMZN. The Goldman Sachs Group reissued a "buy" rating and issued a $375.00 target price (up from $335.00) on shares of Amazon.com in a report on Friday, July 31st. BMO Capital Markets reaffirmed an "outperform" rating and set a $360.00 target price (up from $355.00) on shares of Amazon.com in a research note on Tuesday, July 28th. Bank of America lifted their price target on shares of Amazon.com from $310.00 to $320.00 and gave the company a "buy" rating in a report on Friday, July 31st. HSBC reiterated a "buy" rating and issued a $310.00 price target on shares of Amazon.com in a research note on Friday, July 31st. Finally, Benchmark raised their price objective on Amazon.com from $370.00 to $400.00 and gave the company a "buy" rating in a research report on Friday, July 31st. One investment analyst has rated the stock with a Strong Buy rating, fifty-six have given a Buy rating and two have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, Amazon.com has an average rating of "Moderate Buy" and an average target price of $323.26.

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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