PNC Financial Services Group Inc. Raises Stock Position in Amazon.com, Inc. $AMZN

Key Points

• PNC Financial Services increased its Amazon stake by 1.7% in the first quarter, adding 115,108 shares for a total of 6.83 million shares valued at approximately $1.42 billion. Institutional investors collectively own 72.2% of Amazon.
• Amazon reported a strong quarter, with revenue rising 19.6% year over year to $200.61 billion and EPS of $5.75, substantially above analysts’ $1.82 estimate. Analysts maintain a generally positive outlook, with a consensus “Moderate Buy” rating and a $322.56 price target.
• Despite optimism around AWS and AI-driven growth, Amazon faces risks from heavy AI infrastructure spending, regulatory challenges, potential insider and Jeff Bezos share sales, and possible profit-taking after its recent rally.

PNC Financial Services Group Inc. lifted its position in Amazon.com, Inc. (NASDAQ:AMZN - Free Report) by 1.7% during the 1st quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 6,828,548 shares of the e-commerce giant's stock after purchasing an additional 115,108 shares during the quarter. Amazon.com comprises approximately 0.8% of PNC Financial Services Group Inc.'s portfolio, making the stock its 13th largest holding. PNC Financial Services Group Inc. owned approximately 0.06% of Amazon.com worth $1,422,182,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also added to or reduced their stakes in the business. CMC Financial Group purchased a new stake in shares of Amazon.com in the 1st quarter valued at about $354,000. Oslo Pensjonsforsikring AS purchased a new position in shares of Amazon.com during the first quarter worth about $5,966,000. Mathes Company Inc. increased its position in shares of Amazon.com by 0.7% in the first quarter. Mathes Company Inc. now owns 40,755 shares of the e-commerce giant's stock worth $8,488,000 after purchasing an additional 285 shares during the last quarter. HORAN Wealth LLC increased its position in shares of Amazon.com by 5.7% in the first quarter. HORAN Wealth LLC now owns 21,026 shares of the e-commerce giant's stock worth $4,446,000 after purchasing an additional 1,126 shares during the last quarter. Finally, Burling Wealth Partners LLC raised its stake in Amazon.com by 1.3% in the first quarter. Burling Wealth Partners LLC now owns 124,957 shares of the e-commerce giant's stock valued at $26,025,000 after purchasing an additional 1,553 shares in the last quarter. 72.20% of the stock is currently owned by hedge funds and other institutional investors.

Amazon.com Trading Down 2.3%

Shares of AMZN opened at $277.42 on Wednesday. The stock has a market capitalization of $2.99 trillion, a P/E ratio of 22.32, a PEG ratio of 1.81 and a beta of 1.45. Amazon.com, Inc. has a twelve month low of $196.00 and a twelve month high of $287.20. The company has a quick ratio of 0.87, a current ratio of 1.03 and a debt-to-equity ratio of 0.23. The firm has a fifty day simple moving average of $246.29 and a two-hundred day simple moving average of $236.73.

Amazon.com (NASDAQ:AMZN - Get Free Report) last released its quarterly earnings data on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.82 by $3.93. The firm 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 company's revenue for the quarter was up 19.6% compared to the same quarter last year. During the same quarter in the previous year, the company earned $1.68 earnings per share. On average, research analysts anticipate that Amazon.com, Inc. will post 8.39 EPS for the current year.

Key Amazon.com News

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

• Positive Sentiment: AWS growth is strengthening the AI investment case. Second-quarter revenue rose 19.6% to $200.6 billion, while AWS revenue increased 37% and operating income rose sharply. Investors are increasingly confident that Amazon’s infrastructure spending is translating into cloud demand, margins and future revenue visibility. Amazon AWS growth article
• Positive Sentiment: Analysts remain constructive. Multiple firms have raised price targets, with reported targets generally above the current share price. A large AWS backlog and accelerating AI-related demand are supporting the bullish outlook. Amazon analyst targets and AWS backlog
• Positive Sentiment: AI monetization is broadening. Amazon’s investment in Anthropic and its OpenAI partnership could increase demand for AWS chips and infrastructure. Personalized recommendations and AI features in Prime Video may also improve engagement and create additional monetization opportunities. Amazon Prime Video AI article
• Neutral Sentiment: Recent momentum may be vulnerable to profit-taking. Short covering and strong post-earnings buying helped drive the recent rally, but some analysts have downgraded Amazon to more moderate recommendations as valuation and expectations rise. Amazon rating downgrade
• Negative Sentiment: Bezos’ planned sale is the main near-term overhang. The proposed disposal, valued at roughly $4 billion to $4.7 billion, increases potential supply and has been interpreted as a sentiment “buzzkill” immediately after the stock’s record high. Jeff Bezos Amazon share sale
• Negative Sentiment: Risks from spending and regulation remain. Amazon faces very large AI capital commitments, negative free cash flow and future data-center lease obligations. New Jersey also sued over alleged delivery-network wage suppression, while a court allowed Perplexity’s AI shopping tools to continue operating on Amazon’s platform, potentially increasing competitive and security concerns. Big Tech AI data-center lease obligations

Analyst Ratings Changes

AMZN has been the subject of a number of research reports. China Renaissance boosted their price target on shares of Amazon.com from $300.00 to $326.00 and gave the stock a "buy" rating in a research note on Tuesday, May 5th. Telsey Advisory Group set a $335.00 price objective on shares of Amazon.com and gave the stock an "outperform" rating in a report on Friday. Morgan Stanley reiterated an "overweight" rating and issued a $335.00 target price (up from $330.00) on shares of Amazon.com in a research report on Friday. BNP Paribas Exane increased their target price on Amazon.com from $320.00 to $345.00 and gave the company an "outperform" rating in a research note on Tuesday, May 5th. Finally, DA Davidson restated a "neutral" rating and set a $250.00 price target on shares of Amazon.com in a research report on Friday, July 31st. Fifty-six analysts have rated the stock with a Buy rating and three have given a Hold rating to the company's stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $322.56.

Insider Buying and Selling

In related news, SVP David Zapolsky sold 9,270 shares of the business's stock in a transaction dated Friday, May 22nd. The stock was sold at an average price of $268.53, for a total transaction of $2,489,273.10. Following the transaction, the senior vice president owned 41,190 shares in the company, valued at $11,060,750.70. The trade was a 18.37% decrease in their position. The sale 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, CEO Douglas J. Herrington sold 1,000 shares of the company's stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $239.77, for a total value of $239,770.00. Following the transaction, the chief executive officer directly owned 484,527 shares of the company's stock, valued at $116,175,038.79. The trade was a 0.21% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 76,867 shares of company stock valued at $20,253,702 over the last ninety days. Corporate insiders own 8.90% of the company's stock.

Amazon.com Company Profile

Amazon.com, Inc is a diversified technology and retail company best known for its e-commerce marketplace and broad portfolio of consumer and enterprise services. Founded by Jeff Bezos in 1994 and headquartered in Seattle, Washington, the company launched as an online bookseller and expanded into a global retail platform that sells products directly to consumers and provides a marketplace for third-party sellers. Over time Amazon has grown beyond retail into areas including cloud computing, digital media, devices and logistics.

Key businesses and offerings include Amazon’s online marketplace and fulfillment services, the Amazon Prime membership program (which bundles expedited shipping with streaming and other benefits), Amazon Web Services (AWS) which supplies on-demand cloud computing and storage to businesses and public-sector customers, and a range of content and advertising services such as Prime Video and Amazon Advertising.

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.

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