Amazon.com (NASDAQ:AMZN) Shares Down 1.1% – What’s Next?

Shares of Amazon.com, Inc. (NASDAQ:AMZN) traded down 1.1% on Friday . The company traded as low as $243.59 and last traded at $247.23. Approximately 42,083,728 shares were traded during trading, a decline of 16% from the average daily volume of 49,827,402 shares. The stock had previously closed at $249.89.

Key Stories Impacting Amazon.com

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

• Positive Sentiment: Retail sales data showed online spending surging in June, and Amazon was highlighted as one of the key beneficiaries as consumers kept spending into the back-to-school season. 5 Solid Stocks to Boost Your Portfolio as Retail Sales Continue to Surge
• Positive Sentiment: Wall Street remains constructive on Amazon’s AI and cloud story, with reports pointing to massive data-center and chip investment, strong AWS demand, and multiple analyst upgrades or higher price targets. Andy Jassy Says Amazon’s Chip Business Already Has $225 Billion in Commitments
• Positive Sentiment: Technical sentiment improved after Amazon broke above its 50-day moving average, suggesting short-term bullish momentum. Amazon (AMZN) Just Overtook the 50-Day Moving Average
• Neutral Sentiment: Amazon is featured in broader commentary on AI hyperscalers and a new ETF focused on tech giants and options income, which underscores investor interest in the name but does not directly change fundamentals. Meet TMGN, the 0.88% Fee ETF Betting on Tech Giants and Options Income
• Neutral Sentiment: Analysts continue to model solid earnings growth for Amazon, with one estimate raised for FY2027 EPS, reinforcing the long-term earnings outlook. Amazon.com, Inc. (NASDAQ:AMZN) Receives $312.79 Average PT from Analysts
• Negative Sentiment: Zoox, Amazon’s autonomous vehicle unit, recalled 105 robotaxis after a software issue involving heavy smoke, adding another operational and regulatory headline risk. Amazon’s Zoox issues software recall after robotaxi drove into heavy smoke
• Negative Sentiment: Amazon Web Services also had a billing glitch that briefly generated enormous, erroneous invoice estimates for some customers, a reminder that the cloud business is still vulnerable to embarrassing service issues. Amazon fixing bug that billed some AWS customers billions of dollars

Analyst Ratings Changes

A number of equities research analysts have commented on the company. Wolfe Research reissued an “outperform” rating and issued a $320.00 target price (up from $245.00) on shares of Amazon.com in a report on Thursday, April 30th. Evercore increased their price target on shares of Amazon.com from $285.00 to $315.00 and gave the company an “outperform” rating in a report on Thursday, April 30th. Morgan Stanley raised their price objective on shares of Amazon.com from $300.00 to $330.00 and gave the company an “overweight” rating in a research note on Thursday, April 30th. New Street Research boosted their price objective on shares of Amazon.com from $280.00 to $350.00 and gave the stock a “buy” rating in a report on Monday, May 4th. Finally, Arete Research increased their target price on shares of Amazon.com from $301.00 to $310.00 and gave the company a “buy” rating in a report on Monday, May 18th. 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 MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $312.76.

Amazon.com Stock Down 1.0%

The firm has a market capitalization of $2.66 trillion, a PE ratio of 29.58, a price-to-earnings-growth ratio of 1.90 and a beta of 1.46. The firm’s 50-day moving average is $251.33 and its 200 day moving average is $235.85. The company has a debt-to-equity ratio of 0.27, a quick ratio of 1.01 and a current ratio of 1.18.

Amazon.com (NASDAQ:AMZN) last posted its earnings results on Wednesday, April 29th. The e-commerce giant reported $2.78 earnings per share for the quarter, beating the consensus estimate of $1.63 by $1.15. Amazon.com had a net margin of 12.22% and a return on equity of 19.92%. The firm had revenue of $181.52 billion during the quarter, compared to the consensus estimate of $177.28 billion. During the same period last year, the firm posted $1.59 EPS. The firm’s revenue for the quarter was up 16.6% on a year-over-year basis. As a group, research analysts forecast that Amazon.com, Inc. will post 7.75 earnings per share for the current fiscal year.

Insider Activity

In related news, CEO Douglas J. Herrington sold 27,500 shares of the company’s stock in a transaction that occurred on Monday, May 4th. The stock was 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 represents a 5.51% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Andrew R. Jassy sold 31,352 shares of the stock in a transaction on Monday, May 4th. The shares were sold at an average price of $275.00, for a total value of $8,621,800.00. Following the sale, the chief executive officer owned 2,175,766 shares in the company, valued at approximately $598,335,650. This trade represents a 1.42% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 144,274 shares of company stock worth $38,716,204. 8.90% of the stock is owned by corporate insiders.

Institutional Trading of Amazon.com

Large investors have recently made changes to their positions in the stock. Trust Asset Management LLC grew its holdings in shares of Amazon.com by 3.3% during the second quarter. Trust Asset Management LLC now owns 107,563 shares of the e-commerce giant’s stock worth $26,000 after buying an additional 3,414 shares in the last quarter. MilWealth Group LLC lifted its stake in shares of Amazon.com by 79.0% during 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 period. Lifetime Wealth Management P.C. acquired a new stake in Amazon.com during the fourth quarter worth approximately $45,000. Elkhorn Partners Limited Partnership grew its stake in Amazon.com by 900.0% in the 4th 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. Finally, Fairway Wealth LLC grew its stake in Amazon.com by 95.6% in the 4th quarter. Fairway Wealth LLC now owns 221 shares of the e-commerce giant’s stock worth $51,000 after acquiring an additional 108 shares during the period. Institutional investors and hedge funds own 72.20% of the company’s stock.

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.