UBS Group Reaffirms Buy Rating for Amazon.com (NASDAQ:AMZN)

Key Points

• UBS reiterated a "Buy" on Amazon, and the street consensus remains a Moderate Buy with an average analyst target of $289.04.
• Amazon slightly missed EPS ($1.95 vs. $1.97) but beat revenue estimates ($213.39B vs. $211.02B); the stock trades near $256.83 with a market cap of $2.76T and a P/E around 35.8.
• Key catalysts include a deepened Anthropic/AWS AI partnership and upcoming Q1 earnings, while risks are higher AI‑related capex, regulatory/legal scrutiny, and recent insider selling.

Amazon.com (NASDAQ:AMZN)'s stock had its "buy" rating reiterated by equities researchers at UBS Group in a research note issued to investors on Thursday,MarketScreener reports.

AMZN has been the subject of several other research reports. Monness Crespi & Hardt decreased their price target on shares of Amazon.com from $300.00 to $280.00 and set a "buy" rating for the company in a research report on Friday, February 6th. Cantor Fitzgerald lifted their price objective on shares of Amazon.com from $260.00 to $280.00 and gave the stock an "overweight" rating in a research report on Tuesday. Telsey Advisory Group reaffirmed an "outperform" rating and set a $300.00 price objective on shares of Amazon.com in a research report on Friday, February 6th. Needham & Company LLC reaffirmed a "buy" rating and set a $265.00 price objective on shares of Amazon.com in a research report on Tuesday, March 17th. Finally, DA Davidson reaffirmed a "neutral" rating and set a $175.00 price objective (down from $300.00) on shares of Amazon.com in a research report on Friday, February 6th. One research analyst has rated the stock with a Strong Buy rating, fifty-four have issued a Buy rating and four have given a Hold rating to the company's stock. According to data from MarketBeat, Amazon.com has an average rating of "Moderate Buy" and an average target price of $289.04.

Amazon.com Stock Up 0.6%

AMZN stock traded up $1.47 during midday trading on Thursday, hitting $256.83. The company's stock had a trading volume of 7,474,027 shares, compared to its average volume of 49,285,895. The company has a quick ratio of 0.88, a current ratio of 1.05 and a debt-to-equity ratio of 0.16. Amazon.com has a 52-week low of $178.85 and a 52-week high of $258.60. The firm has a market capitalization of $2.76 trillion, a P/E ratio of 35.81, a PEG ratio of 1.87 and a beta of 1.38. The firm has a 50-day simple moving average of $216.43 and a 200-day simple moving average of $225.75.

Amazon.com (NASDAQ:AMZN - Get Free Report) last issued its quarterly earnings results on Thursday, February 5th. The e-commerce giant reported $1.95 EPS for the quarter, missing the consensus estimate of $1.97 by ($0.02). Amazon.com had a net margin of 10.83% and a return on equity of 21.87%. The business had revenue of $213.39 billion during the quarter, compared to analysts' expectations of $211.02 billion. During the same period in the prior year, the business earned $1.86 EPS. The business's quarterly revenue was up 13.6% on a year-over-year basis. As a group, equities analysts forecast that Amazon.com will post 7.72 EPS for the current year.

Insider Activity

In related news, CEO Matthew S. Garman sold 17,751 shares of Amazon.com stock in a transaction on Monday, February 23rd. The shares were sold at an average price of $205.22, for a total transaction of $3,642,860.22. Following the sale, the chief executive officer directly owned 9,405 shares in the company, valued at $1,930,094.10. This trade represents a 65.37% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, VP Shelley Reynolds sold 2,695 shares of Amazon.com stock in a transaction on Monday, February 23rd. The stock was sold at an average price of $205.90, for a total transaction of $554,900.50. Following the sale, the vice president owned 119,780 shares in the company, valued at $24,662,702. This represents a 2.20% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 124,186 shares of company stock worth $27,826,739 over the last three months. Company insiders own 9.70% of the company's stock.

Institutional Investors Weigh In On Amazon.com

Institutional investors and hedge funds have recently made changes to their positions in the business. Fairway Wealth LLC raised its holdings in shares of Amazon.com by 113.2% in the third quarter. Fairway Wealth LLC now owns 113 shares of the e-commerce giant's stock valued at $25,000 after buying an additional 60 shares during the last quarter. Sellwood Investment Partners LLC purchased a new stake in shares of Amazon.com in the third quarter valued at about $27,000. MilWealth Group LLC raised its holdings in shares of Amazon.com by 79.0% in the fourth quarter. MilWealth Group LLC now owns 179 shares of the e-commerce giant's stock valued at $41,000 after buying an additional 79 shares during the last quarter. Lifetime Wealth Management P.C. purchased a new stake in shares of Amazon.com in the fourth quarter valued at about $45,000. Finally, Elkhorn Partners Limited Partnership increased its stake in shares of Amazon.com by 900.0% during the fourth quarter. Elkhorn Partners Limited Partnership now owns 200 shares of the e-commerce giant's stock worth $46,000 after acquiring an additional 180 shares during the period. 72.20% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about Amazon.com

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

• Positive Sentiment: Big AI/cloud demand visibility: Amazon agreed to deepen its Anthropic partnership with a fresh multi‑billion investment and Anthropic has committed to spend heavily on AWS over the next decade — materially boosting long‑term AWS capacity demand and Trainium chip utilization. Amazon- Anthropic investment (Investopedia)
• Positive Sentiment: Analyst upgrades/price‑target lifts: Several brokers raised targets and reiterated buy/outperform calls (example: BMO raised its target to $315), supporting near‑term momentum into earnings. Upgrades increase investor confidence and can attract incremental flows. BMO raises AMZN target to $315 (Benzinga)
• Positive Sentiment: New healthcare revenue stream: Amazon launched a nationwide GLP‑1 weight‑loss program via One Medical and Amazon Pharmacy, expanding recurring prescription and delivery revenue opportunities while pressuring incumbents’ pricing power. Amazon GLP-1 program launch (CNBC)
• Positive Sentiment: Institutional buying signals: Some tech‑focused funds and managers are adding AMZN to concentrated portfolios, signaling conviction around Amazon’s role in AI, cloud and retail. Whale Rock adds AMZN (247WallSt)
• Neutral Sentiment: Insider transaction was routine: CEO Andy Jassy sold 31,000 shares under a pre‑arranged 10b5‑1 plan; the size is small relative to his holdings and appears scheduled rather than signaling fresh concern. SEC Form 4: Jassy sale (SEC)
• Neutral Sentiment: Operational sustainability steps: Amazon is piloting electric heavy‑truck deployments with Einride (75 trucks), a modest ESG/logistics positive but limited near‑term revenue impact. Einride electric trucks deployment (Yahoo/Finance)
• Neutral Sentiment: Upcoming catalyst: Amazon reports Q1 earnings on April 29 — results and management commentary on AWS AI revenue/margins and advertising will likely drive short‑term moves. Q1 earnings date (TipRanks)
• Negative Sentiment: Regulatory/legal overhang: California’s Attorney General released allegations claiming Amazon pressured vendors to raise prices on rival platforms — renewed antitrust scrutiny could lead to fines, remedies or operational changes if cases progress. California price‑fixing allegations (Reuters)
• Negative Sentiment: Margin and capex scrutiny: Analysts note the Anthropic/AWS deals increase revenue visibility but also raise near‑term capex and operating intensity; heavy AI spending could pressure margins and FCF if monetization lags. AI investment vs. profitability debate (Proactive Investors)
• Negative Sentiment: Reputational and legal risks: Worker safety scrutiny and product‑liability suits (recent camp‑stove lawsuit) add potential costs and distraction. Separately, large investors trimming positions (reports of significant Berkshire reduction) can weigh on sentiment. Workplace safety scrutiny (The Guardian)

About Amazon.com

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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