SB Capital Management Inc Acquires New Stake in Amazon.com, Inc. $AMZN

Key Points

• SB Capital Management disclosed a new fourth-quarter stake in Amazon, buying 3,366 shares worth about $777,000. The filing adds to evidence that institutional investors continue to hold a large majority of AMZN shares.
• Several analysts remain upbeat on Amazon’s outlook, citing AWS and AI as major growth drivers. The stock currently has a consensus rating of Moderate Buy with an average price target of about $312.78.
• Amazon continues to show strong operating momentum, posting $2.78 EPS and $181.52 billion in quarterly revenue, both above expectations. The company also reported 16.6% year-over-year revenue growth, while CEO Andy Jassy and another top executive recently sold shares under pre-arranged trading plans.

SB Capital Management Inc acquired a new stake in shares of Amazon.com, Inc. (NASDAQ:AMZN) in the fourth quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund acquired 3,366 shares of the e-commerce giant's stock, valued at approximately $777,000.

Several other hedge funds have also added to or reduced their stakes in AMZN. MilWealth Group LLC boosted 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 worth $41,000 after purchasing an additional 79 shares in the last quarter. Elkhorn Partners Limited Partnership grew its position in Amazon.com by 900.0% during the 4th quarter. Elkhorn Partners Limited Partnership now owns 200 shares of the e-commerce giant's stock valued at $46,000 after purchasing an additional 180 shares during the last quarter. Fairway Wealth LLC increased its stake in Amazon.com by 95.6% during the 4th quarter. Fairway Wealth LLC now owns 221 shares of the e-commerce giant's stock valued at $51,000 after purchasing an additional 108 shares in the last quarter. Prudent Man Investment Management Inc. increased its stake in Amazon.com by 87.7% during the 4th quarter. Prudent Man Investment Management Inc. now owns 229 shares of the e-commerce giant's stock valued at $53,000 after purchasing an additional 107 shares in the last quarter. Finally, Bridge Generations Wealth Management LLC raised its holdings in Amazon.com by 2,330.0% in the third quarter. Bridge Generations Wealth Management LLC now owns 243 shares of the e-commerce giant's stock worth $53,000 after buying an additional 233 shares during the last quarter. 72.20% of the stock is owned by institutional investors.

Amazon.com News Summary

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

• Positive Sentiment: Analysts are increasingly bullish on Amazon’s AI and cloud positioning, with multiple firms reiterating Buy ratings and highlighting AWS as a long-term growth driver. Brian Pitz Reiterates Amazon as Top Pick, Maintains Buy Rating and $355 Price Target on Strengthening AI and Cloud Positioning
• Positive Sentiment: Amazon is reportedly exploring sales of its Trainium AI chips to external data center customers, which could open a new revenue stream and deepen its challenge to Nvidia. Amazon exploring selling its custom AI chips to data center customers
• Positive Sentiment: Prime Day is approaching, and Bank of America expects the event to drive strong sales while boosting adoption of Amazon’s AI shopping tools, including Alexa for Shopping. Bank of America Lays Out Expectations Ahead of Amazon Stock’s Prime Day
• Positive Sentiment: Amazon is investing more than €10 billion to expand its European fulfillment network, signaling continued support for e-commerce capacity and logistics efficiency. Amazon Commits €10 Billion for European fulfillment network
• Neutral Sentiment: Amazon is facing EU scrutiny over whether AWS should be classified as a “gatekeeper” under the Digital Markets Act, which could increase regulatory oversight for the cloud unit. Microsoft and Amazon Face EU Digital Markets Act Scrutiny Over Cloud Dominance
• Neutral Sentiment: Amazon MGM Studios dropped the nearly finished OpenAI film “Artificial” after the companies’ broader partnership shift, a move with limited direct financial impact but notable signaling value. Luca Guadagnino’s Sam Altman, OpenAI Film ‘Artificial’ Dropped by Amazon MGM Studios
• Negative Sentiment: Amazon is also dealing with employee and public scrutiny over AI data center expansion and labor practices, which could add regulatory and reputational pressure. Amazon investigating engineers who criticized AI data center expansion

Insider Transactions at Amazon.com

In related news, CEO Andrew R. Jassy sold 31,352 shares of Amazon.com stock in a transaction on Monday, May 4th. The stock was sold at an average price of $275.00, for a total value of $8,621,800.00. Following the completion of the sale, the chief executive officer owned 2,175,766 shares of the company's stock, valued at $598,335,650. The trade was a 1.42% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, 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 27,500 shares of the company's stock in a transaction on Monday, May 4th. The shares were sold at an average price of $275.00, for a total value of $7,562,500.00. Following the sale, the chief executive officer owned 471,361 shares of the company's stock, valued at approximately $129,624,275. This trade represents a 5.51% 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 quarter, insiders have sold 195,774 shares of company stock valued at $51,614,434. Corporate insiders own 8.90% of the company's stock.

Amazon.com Price Performance

Shares of Amazon.com stock opened at $244.39 on Friday. Amazon.com, Inc. has a twelve month low of $196.00 and a twelve month high of $278.56. The company has a quick ratio of 1.01, a current ratio of 1.18 and a debt-to-equity ratio of 0.27. The company's 50 day moving average is $256.51 and its 200 day moving average is $234.12. The company has a market cap of $2.63 trillion, a price-to-earnings ratio of 29.23, a price-to-earnings-growth ratio of 1.83 and a beta of 1.44.

Amazon.com (NASDAQ:AMZN - Get Free Report) last posted its earnings results on Wednesday, April 29th. The e-commerce giant reported $2.78 EPS for the quarter, topping analysts' consensus estimates of $1.63 by $1.15. The business had revenue of $181.52 billion during the quarter, compared to the consensus estimate of $177.28 billion. Amazon.com had a net margin of 12.22% and a return on equity of 19.92%. The firm's revenue was up 16.6% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.59 EPS. Research analysts anticipate that Amazon.com, Inc. will post 7.71 EPS for the current year.

Wall Street Analyst Weigh In

A number of research firms have recently commented on AMZN. Canaccord Genuity Group increased their price target on shares of Amazon.com from $300.00 to $330.00 and gave the company a "buy" rating in a report on Thursday, April 30th. DA Davidson boosted their price objective on shares of Amazon.com from $175.00 to $250.00 and gave the stock a "neutral" rating in a report on Thursday, April 30th. Susquehanna reiterated a "positive" rating and set a $325.00 target price (up from $300.00) on shares of Amazon.com in a research note on Thursday, April 30th. Mizuho lifted their target price on Amazon.com from $315.00 to $325.00 and gave the stock an "outperform" rating in a report on Tuesday, April 28th. Finally, Evercore boosted their price target on Amazon.com from $285.00 to $315.00 and gave the stock an "outperform" rating in a research note on Thursday, April 30th. Fifty-seven equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $312.78.

Amazon.com 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.

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