TD Capital Management LLC Raises Position in Amazon.com, Inc. $AMZN

Key Points

• TD Capital Management increased its Amazon stake by 68.3% in the fourth quarter, ending with 6,234 shares worth about $1.44 million.
• Institutional ownership remains very high at 72.2%, with several other large hedge funds also adding or initiating major positions in Amazon.
• Analysts remain bullish on Amazon, citing strength in AI and AWS, while the company is also drawing attention for potential new revenue from selling Trainium AI chips and for continued regulatory scrutiny in Europe.

TD Capital Management LLC raised its position in shares of Amazon.com, Inc. (NASDAQ:AMZN - Free Report) by 68.3% during the 4th quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 6,234 shares of the e-commerce giant's stock after acquiring an additional 2,530 shares during the quarter. TD Capital Management LLC's holdings in Amazon.com were worth $1,439,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently made changes to their positions in the company. Norges Bank bought a new position in shares of Amazon.com in the 4th quarter worth approximately $32,868,735,000. J. Stern & Co. LLP boosted its position in shares of Amazon.com by 20,598.0% during the fourth quarter. J. Stern & Co. LLP now owns 87,982,814 shares of the e-commerce giant's stock valued at $20,308,193,000 after purchasing an additional 87,557,736 shares in the last quarter. Nuveen LLC bought a new stake in shares of Amazon.com during the first quarter valued at approximately $11,674,091,000. Cardano Risk Management B.V. grew its stake in Amazon.com by 879.4% in the fourth quarter. Cardano Risk Management B.V. now owns 27,862,400 shares of the e-commerce giant's stock worth $6,431,199,000 after purchasing an additional 25,017,588 shares during the period. Finally, Laurel Wealth Advisors LLC raised its holdings in Amazon.com by 22,085.8% in the second quarter. Laurel Wealth Advisors LLC now owns 12,177,557 shares of the e-commerce giant's stock worth $2,671,634,000 after purchasing an additional 12,122,668 shares in the last quarter. Hedge funds and other institutional investors own 72.20% of the company's stock.

Insider Activity

In related news, CEO Andrew R. Jassy sold 31,352 shares of the firm's stock in a transaction that occurred on Monday, May 4th. The shares were sold at an average price of $275.00, for a total transaction 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. This trade represents a 1.42% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Matthew S. Garman sold 15,467 shares of the business's stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $263.40, for a total transaction of $4,074,007.80. Following the completion of the transaction, the chief executive officer owned 14,159 shares of the company's stock, valued at approximately $3,729,480.60. The trade was a 52.21% 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. In the last three months, insiders have sold 195,774 shares of company stock worth $51,614,434. Corporate insiders own 8.90% of the company's stock.

Key Stories Impacting Amazon.com

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

Amazon.com Price Performance

AMZN opened at $244.39 on Friday. The firm has a market cap of $2.63 trillion, a PE ratio of 29.23, a P/E/G ratio of 1.83 and a beta of 1.44. The stock has a 50-day moving average price of $256.51 and a 200-day moving average price of $234.12. Amazon.com, Inc. has a 1 year low of $196.00 and a 1 year high of $278.56. The company has a debt-to-equity ratio of 0.27, a current ratio of 1.18 and a quick ratio of 1.01.

Amazon.com (NASDAQ:AMZN - Get Free Report) last announced its quarterly earnings data on Wednesday, April 29th. The e-commerce giant reported $2.78 EPS for the quarter, beating the consensus estimate of $1.63 by $1.15. The company had revenue of $181.52 billion for 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%. Amazon.com's revenue for the quarter was up 16.6% on a year-over-year basis. During the same period in the prior year, the firm posted $1.59 EPS. Sell-side analysts predict that Amazon.com, Inc. will post 7.71 earnings per share for the current fiscal year.

Analyst Ratings Changes

Several equities analysts have commented on AMZN shares. DZ Bank raised their price objective on Amazon.com from $295.00 to $320.00 and gave the company a "buy" rating in a research report on Monday, May 4th. Bank of America increased their price target on shares of Amazon.com from $298.00 to $310.00 and gave the stock a "buy" rating in a research note on Thursday, April 30th. Needham & Company LLC lifted their price target on shares of Amazon.com from $265.00 to $300.00 and gave the company a "buy" rating in a research 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 research note on Thursday, April 30th. Finally, Pivotal Research restated a "buy" rating and issued a $320.00 price objective (up from $300.00) on shares of Amazon.com in a report on Thursday, April 30th. Fifty-seven analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $312.78.

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.

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