Royal London Asset Management Ltd. Raises Stock Position in Amazon.com, Inc. $AMZN

Key Points

• Royal London Asset Management increased its Amazon stake by 0.8% in the second quarter, adding 68,469 shares to hold 8.9 million shares worth approximately $2.12 billion. Institutional investors own 72.2% of Amazon.
• Wall Street remains bullish, with 56 analysts rating Amazon a Buy and three assigning a Hold; the consensus price target is $321.19, above the stock’s reported $249.67 opening price.
• Amazon reported strong quarterly results, including $5.75 in earnings per share and $200.61 billion in revenue, up 19.6% year over year. However, investors remain focused on whether heavy AI infrastructure spending will generate sufficient returns, alongside execution risks from international expansion.

Royal London Asset Management Ltd. grew its stake in shares of Amazon.com, Inc. (NASDAQ:AMZN - Free Report) by 0.8% during the 2nd quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 8,904,735 shares of the e-commerce giant's stock after buying an additional 68,469 shares during the quarter. Amazon.com accounts for 3.9% of Royal London Asset Management Ltd.'s investment portfolio, making the stock its 5th biggest position. Royal London Asset Management Ltd. owned 0.08% of Amazon.com worth $2,122,355,000 as of its most recent filing with the SEC.

Other hedge funds also recently made changes to their positions in the company. Auto Owners Insurance Co raised its position in Amazon.com by 27,376.7% during the fourth 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 purchasing an additional 98,090,585 shares in the last quarter. Bank of America Corp DE bought a new stake in Amazon.com during the second quarter worth about $22,218,775,000. Bank of New York Mellon Corp purchased a new position in shares of Amazon.com in the 2nd quarter worth about $16,341,405,000. Legal & General Group Plc purchased a new position in shares of Amazon.com in the 2nd quarter worth about $12,831,376,000. Finally, Mitsubishi UFJ Asset Management Co. Ltd. bought a new position in shares of Amazon.com during the 2nd quarter valued at about $6,631,466,000. 72.20% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

AMZN has been the topic of a number of research reports. Roth Capital reissued a "buy" rating and set a $325.00 price objective on shares of Amazon.com in a report on Monday, August 3rd. Wedbush upped their target price on Amazon.com from $293.00 to $310.00 and gave the stock an "outperform" rating in a research note on Friday, July 31st. Truist Financial increased their price target on shares of Amazon.com from $320.00 to $350.00 and gave the company a "buy" rating in a research report on Friday, July 31st. Weiss Ratings reissued a "buy (b)" rating on shares of Amazon.com in a research note on Monday, August 3rd. Finally, Wolfe Research restated an "outperform" rating and issued a $315.00 price objective on shares of Amazon.com in a report on Friday, July 31st. Fifty-six research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat.com, Amazon.com has an average rating of "Moderate Buy" and a consensus price target of $321.19.

More Amazon.com News

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

• Positive Sentiment: AWS and AI infrastructure remain the central bullish case. Analysts and commentators argue that Amazon’s roughly $200 billion 2026 capital-expenditure plan reflects substantial demand for AWS computing, custom chips and AI capacity. Amazon is also reportedly preparing to receive approximately $2.4 billion in backup-generator orders from Generac in 2027 and 2028, underscoring the scale of its data-center expansion. Amazon AI capital expenditures article Generac data-center orders article
• Positive Sentiment: Expansion of merchant services could broaden revenue beyond Amazon.com. New tools let sellers manage listings, inventory and orders across channels including Walmart, Shopify, TikTok and eBay. Amazon is also extending Prime delivery and fulfillment services to merchants’ own websites, potentially increasing third-party logistics revenue and seller dependence on its ecosystem. Amazon merchant services article
• Neutral Sentiment: Anthropic remains strategically important, but its infrastructure is becoming more diversified. Anthropic committed about $11.6 billion to an Akamai CPU agreement, which can be viewed as a setback for AWS. However, Amazon retains a major equity stake and an ongoing AWS relationship, limiting the immediate financial impact. Anthropic Akamai agreement article
• Negative Sentiment: Investors remain concerned that AI spending may outpace monetization. Goldman Sachs estimates hyperscalers may need roughly $300 billion in additional AI revenue to justify their investments, while Michael Burry and Jefferies’ Chris Wood have warned of leverage, overcapacity and potential write-offs. Those concerns could pressure AMZN’s valuation despite strong AWS demand. Goldman Sachs AI spending article
• Negative Sentiment: Amazon’s $3 billion India quick-commerce investment adds near-term cost and execution risk while the company attempts to catch rivals with a relatively small market share. The decision to block Meta’s Muse shopping agent also risks diverting AI-driven purchases toward Shopify and other platforms. Amazon India investment article

Insider Transactions at Amazon.com

In other Amazon.com news, CEO Douglas J. Herrington sold 6,362 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 transaction of $1,647,821.62. Following the completion of the transaction, the chief executive officer owned 476,681 shares of the company's stock, valued at $123,465,145.81. This represents a 1.32% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Matthew Garman sold 14,541 shares of the company's stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $259.06, for a total value of $3,766,991.46. Following the transaction, the chief executive officer owned 17,794 shares of the company's stock, valued at approximately $4,609,713.64. This represents a 44.97% 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. In the last three months, insiders have sold 71,589 shares of company stock valued at $18,568,785. 8.90% of the stock is currently owned by insiders.

Amazon.com Stock Performance

Shares of AMZN stock opened at $249.67 on Monday. The business has a 50-day moving average of $256.39 and a 200 day moving average of $247.20. 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, Inc. has a 1-year low of $196.00 and a 1-year high of $287.20. The stock has a market capitalization of $2.69 trillion, a PE ratio of 20.09, a P/E/G ratio of 1.93 and a beta of 1.44.

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

About Amazon.com

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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