TB Alternative Assets Ltd. Purchases New Holdings in Amazon.com, Inc. $AMZN

Key Points

• TB Alternative Assets Ltd. purchased 44,700 Amazon shares worth approximately $11.1 million in the third quarter, making Amazon its 10th-largest holding and representing 2.3% of its portfolio.
• Institutional investors and hedge funds own 72.2% of Amazon, while company insiders sold 71,589 shares worth $18.6 million during the past quarter, including notable sales by the CEO and a vice president.
• Amazon reported stronger-than-expected quarterly results, with revenue up 19.6% year over year, and analysts maintain a bullish outlook driven by AWS, AI infrastructure, advertising and automation. However, investors remain concerned that the company’s planned $220 billion investment program could pressure free cash flow and returns.

TB Alternative Assets Ltd. purchased a new position in Amazon.com, Inc. (NASDAQ:AMZN - Free Report) during the 3rd quarter, according to its most recent disclosure with the SEC. The fund purchased 44,700 shares of the e-commerce giant's stock, valued at approximately $11,137,000. Amazon.com accounts for 2.3% of TB Alternative Assets Ltd.'s holdings, making the stock its 10th largest position.

A number of other large investors also recently modified their holdings of AMZN. Trail Ridge Investment Advisors LLC lifted its stake in shares of Amazon.com by 39.0% in the third quarter. Trail Ridge Investment Advisors LLC now owns 13,759 shares of the e-commerce giant's stock valued at $3,428,000 after buying an additional 3,861 shares during the period. Michael J. Porro & Co. Financial Advisors Inc. increased its stake in Amazon.com by 15.5% during the third quarter. Michael J. Porro & Co. Financial Advisors Inc. now owns 4,136 shares of the e-commerce giant's stock valued at $1,030,000 after acquiring an additional 556 shares during the period. Halbert Hargrove Global Advisors LLC increased its stake in Amazon.com by 3.3% during the third quarter. Halbert Hargrove Global Advisors LLC now owns 5,038 shares of the e-commerce giant's stock valued at $1,255,000 after acquiring an additional 163 shares during the period. ACT Advisors LLC. increased its stake in Amazon.com by 11.4% during the third quarter. ACT Advisors LLC. now owns 5,419 shares of the e-commerce giant's stock valued at $1,350,000 after acquiring an additional 555 shares during the period. Finally, Daytona Street Capital LLC raised its holdings in Amazon.com by 6.8% in the 3rd quarter. Daytona Street Capital LLC now owns 21,765 shares of the e-commerce giant's stock valued at $5,470,000 after acquiring an additional 1,391 shares in the last quarter. 72.20% of the stock is currently owned by institutional investors and hedge funds.

Insiders Place Their Bets

In related news, CEO Matthew S. Garman sold 14,541 shares of the business's stock in a transaction on Friday, August 21st. The stock was sold at an average price of $259.06, for a total value of $3,766,991.46. Following the sale, the chief executive officer owned 17,794 shares of the company's stock, valued at $4,609,713.64. The trade was a 44.97% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Shelley Reynolds sold 2,343 shares of the company's stock in a transaction on Friday, August 21st. The shares were sold at an average price of $259.01, for a total value of $606,860.43. Following the completion of the sale, the vice president owned 119,780 shares in the company, valued at $31,024,217.80. This trade represents a 1.92% decrease in their ownership of the stock. 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 have sold 71,589 shares of company stock worth $18,580,515 over the last quarter. Corporate insiders own 8.90% of the company's stock.

Amazon.com Price Performance

NASDAQ AMZN opened at $248.00 on Monday. The company has a current ratio of 1.03, a quick ratio of 0.87 and a debt-to-equity ratio of 0.23. The stock's 50 day moving average is $255.56 and its two-hundred day moving average is $253.58. The company has a market capitalization of $2.68 trillion, a price-to-earnings ratio of 19.95, a PEG ratio of 2.04 and a beta of 1.45. Amazon.com, Inc. has a 1-year low of $196.00 and a 1-year high of $287.20.

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 for the quarter, beating the consensus estimate of $1.82 by $3.93. Amazon.com had a return on equity of 18.00% and a net margin of 17.44%. The company had revenue of $200.61 billion for the quarter, compared to analyst estimates of $197.03 billion. During the same period in the prior year, the company posted $1.68 EPS. The company's revenue was up 19.6% compared to the same quarter last year. Equities analysts forecast that Amazon.com, Inc. will post 7.55 earnings per share for the current fiscal year.

Key Stories Impacting Amazon.com

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

• Positive Sentiment: AWS growth is accelerating, with analysts focused on stronger demand for AI infrastructure, a large cloud backlog and potential margin expansion. Morgan Stanley named Amazon a top pick and raised its price target to $350, citing AWS growth, advertising, Prime, and fulfillment automation as additional catalysts. Amazon's $350 Price Target Faces a Big Earnings Test
• Positive Sentiment: CEO Andy Jassy said Amazon’s Trainium chips could reduce AI inference costs, which he characterized as roughly 10 times too high today. Successful adoption of internally designed chips could lower AWS infrastructure costs and improve profitability. Amazon CEO Discusses AI Inference Costs and Trainium
• Positive Sentiment: Analysts also see longer-term upside from warehouse automation, logistics expansion and advertising monetization, while Amazon’s planned UK entry-level hiring initiative may support its workforce and public-image goals. Amazon Logistics Automation Offers Long-Term Margin Gains
• Neutral Sentiment: Investors are awaiting the October 29 quarterly report, which is expected to clarify AWS growth, cloud margins, capital-spending guidance, free-cash-flow recovery and early Prime Day demand. Amazon Earnings Scheduled for October 29
• Negative Sentiment: The $220 billion investment plan has pushed free cash flow into the red and raised concerns that AI spending may outpace near-term returns. Reports that Nvidia hardware is waiting for available data-center power add execution risk to the infrastructure buildout. Amazon AI Hardware Awaits Data-Center Power

Wall Street Analysts Forecast Growth

AMZN has been the subject of a number of research reports. Barclays reiterated an "overweight" rating and issued a $365.00 price objective (up from $330.00) on shares of Amazon.com in a research report on Friday, July 31st. The Goldman Sachs Group restated a "buy" rating and set a $375.00 price objective (up from $335.00) on shares of Amazon.com in a research report on Friday, July 31st. Yorkville Ives assumed coverage on Amazon.com in a research report on Monday, October 19th. They set an "outperform" rating and a $300.00 price objective on the stock. Weiss Ratings restated a "buy (b)" rating on shares of Amazon.com in a research note on Monday, August 3rd. Finally, Wedbush raised their target price on Amazon.com from $293.00 to $310.00 and gave the stock an "outperform" rating in a research report on Friday, July 31st. Fifty-seven equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, Amazon.com currently has a consensus rating of "Moderate Buy" and a consensus target price of $322.53.

Amazon.com Profile

Amazon.com, Inc is a global technology and e-commerce company founded by Jeff Bezos in 1994. Originally launched as an online bookstore, the company has expanded into a broad digital marketplace offering consumer products across numerous categories, including electronics, household goods, apparel, groceries and other merchandise. Amazon also sells products under its own brands and provides logistics, fulfillment and delivery services that support its retail operations and third-party sellers.

The company's principal businesses include online and physical retail, Amazon Web Services (AWS), digital advertising, subscription services and consumer technology.

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