Tudor Financial Inc. Sells 3,952 Shares of Amazon.com, Inc. $AMZN

Key Points

• Tudor Financial cut its Amazon stake by 44.1%: The firm sold 3,952 shares in the second quarter and retained 5,004 shares valued at approximately $1.19 million.
• Institutional ownership remains substantial: Several major investors established or expanded Amazon positions, with institutions collectively owning 72.2% of the company’s stock.
• Amazon’s outlook is supported by AWS and AI growth but faces cost risks: Analysts maintain a generally bullish view, while heavy AI infrastructure spending, potential regulatory action and questions about AWS profitability could pressure cash flow.

Tudor Financial Inc. lessened its position in shares of Amazon.com, Inc. (NASDAQ:AMZN) by 44.1% in the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 5,004 shares of the e-commerce giant's stock after selling 3,952 shares during the period. Tudor Financial Inc.'s holdings in Amazon.com were worth $1,193,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other hedge funds have also added to or reduced their stakes in the company. Auto Owners Insurance Co boosted its holdings in Amazon.com by 27,376.7% in 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 acquiring an additional 98,090,585 shares during the last quarter. Bank of America Corp DE bought a new position in Amazon.com during the second quarter worth $22,218,775,000. Bank of New York Mellon Corp acquired a new position in Amazon.com in the second quarter valued at $16,341,405,000. Legal & General Group Plc bought a new stake in Amazon.com during the second quarter valued at $12,831,376,000. Finally, Mitsubishi UFJ Asset Management Co. Ltd. acquired a new stake in Amazon.com during the 2nd quarter worth about $6,631,466,000. 72.20% of the stock is owned by institutional investors.

Key Stories Impacting Amazon.com

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

• Positive Sentiment: AWS data-center push received support: Amazon Web Services pledged more than $1 billion over five years for communities hosting its U.S. data centers, including job training, education and infrastructure initiatives. The investment is intended to ease resistance to new facilities and help Amazon secure capacity for AI workloads. Amazon to invest $1 billion over five years in US data center communities
• Positive Sentiment: AI and AWS growth remain the main bullish catalyst: Reports highlighted AWS’s rapid expansion, a more than $1 billion Synopsys agreement supporting custom-chip development, and Anthropic’s expected long-term AWS commitments of roughly $110 billion. Amazon also launched an AI agent that audits customers’ cloud environments, potentially increasing AWS usage while improving customer cost, security and performance management. Amazon Is Both Landlord And Shareholder In Anthropic’s Giant Cloud Bet
• Positive Sentiment: Analyst confidence provided additional support: Goldman Sachs added Amazon to its conviction list, while New Street raised its price target to $385 and maintained a Buy rating. Analysts cited AWS growth, generative AI exposure and potential retail-margin improvement as reasons for longer-term upside. New Street Adjusts Price Target on Amazon.com to $385
• Neutral Sentiment: Amazon is reportedly exploring an $8 billion chip sale-and-leaseback: Moving Nvidia AI chips to an investment vehicle could make the balance sheet more asset-light and help fund capital spending, but it also underscores the scale of Amazon’s AI infrastructure costs and financing requirements. Amazon seeks to offload $8 billion of Nvidia chips
• Negative Sentiment: Investors face profitability and regulatory risks: Analysts questioned how much AWS earnings are distorted by unrealized Anthropic investment gains, while surging AI capital expenditures could pressure free cash flow. Potential tougher EU cloud rules, data-center opposition, warehouse labor actions and Prime-related settlement payments add further uncertainty. What Are Amazon Investors Paying for AWS Without Investment Gains?

Analyst Ratings Changes

Several brokerages have recently weighed in on AMZN. Phillip Securities lowered shares of Amazon.com from a "strong-buy" rating to a "moderate buy" rating in a report on Monday, August 3rd. Truist Financial boosted their price objective on Amazon.com from $320.00 to $350.00 and gave the company a "buy" rating in a report on Friday, July 31st. Citigroup reaffirmed a "market outperform" rating on shares of Amazon.com in a research report on Friday, August 14th. Roth Capital reissued a "buy" rating and issued a $325.00 price target on shares of Amazon.com in a research report on Monday, August 3rd. Finally, Wolfe Research reaffirmed an "outperform" rating and issued a $315.00 price objective on shares of Amazon.com in a research note on Friday, July 31st. Fifty-six analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, Amazon.com presently has a consensus rating of "Moderate Buy" and a consensus target price of $321.63.

Insider Transactions at Amazon.com

In other news, CFO Brian T. Olsavsky sold 6,172 shares of Amazon.com stock in a transaction dated Friday, August 21st. The shares were sold at an average price of $260.31, for a total transaction of $1,606,633.32. Following the sale, the chief financial officer owned 109,207 shares of the company's stock, valued at approximately $28,427,674.17. The trade was a 5.35% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP David Zapolsky sold 9,258 shares of the stock in a transaction that occurred on Monday, August 24th. The stock was sold at an average price of $259.77, for a total value of $2,404,950.66. Following the completion of the transaction, the senior vice president directly owned 41,190 shares of the company's stock, valued at $10,699,926.30. This represents a 18.35% 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. In the last three months, insiders have sold 70,589 shares of company stock valued at $18,329,015. Company insiders own 8.90% of the company's stock.

Amazon.com Price Performance

NASDAQ:AMZN opened at $251.52 on Friday. Amazon.com, Inc. has a 52-week low of $196.00 and a 52-week high of $287.20. The stock has a fifty day moving average of $257.06 and a 200 day moving average of $248.25. The company has a debt-to-equity ratio of 0.23, a quick ratio of 0.87 and a current ratio of 1.03. The firm has a market capitalization of $2.71 trillion, a price-to-earnings ratio of 20.23, a P/E/G ratio of 1.92 and a beta of 1.45.

Amazon.com (NASDAQ:AMZN - Get Free Report) last released its quarterly earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share for the quarter, beating analysts' consensus estimates of $1.82 by $3.93. The business had revenue of $200.61 billion for the quarter, compared to the consensus estimate of $197.03 billion. Amazon.com had a return on equity of 18.00% and a net margin of 17.44%.The company's revenue for the quarter was up 19.6% on a year-over-year basis. During the same quarter last year, the business posted $1.68 earnings per share. On average, research analysts expect that Amazon.com, Inc. will post 8.01 EPS for the current fiscal year.

About Amazon.com

Amazon.com, Inc is a global technology and commerce company that operates online marketplaces, physical stores, and a broad portfolio of digital and cloud-based services. The company offers consumer products across categories such as electronics, household goods, apparel, groceries, and entertainment, while also providing third-party sellers with tools for listing, selling, and fulfilling orders.

Amazon's major businesses include Amazon Web Services (AWS), which provides cloud computing, storage, database, analytics, and artificial intelligence services; Prime, a membership program that includes shipping, streaming, and other benefits; and digital entertainment services such as Prime Video, Amazon Music, Kindle, and Audible.

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