Analysis of Amazon.com (NASDAQ:AMZN) Stock Activities

Stake Reductions and Portfolio Adjustments

• SNS Financial Group LLC:

  • Reduced stake in AMZN by 7.6% during the 4th quarter.
  • Sold 1,371 shares, holding 16,708 shares worth $3,666,000 as of the latest SEC filing.

• Hedge Fund Adjustments:

  • State Street Corp: Increased stake by 3.3%, owning 359,179,990 shares ($66,926,080,000).
  • Geode Capital Management LLC: Increased stake by 3.4%, owning 199,915,046 shares ($37,116,341,000).
  • UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC: Increased stake by 3.6%, owning 57,833,954 shares ($10,776,201,000).
  • Charles Schwab Investment Management Inc.: Increased stake by 3.6%, owning 57,308,094 shares ($10,678,217,000).
  • Franklin Resources Inc.: Increased holdings by 0.5%, owning 47,156,540 shares ($8,843,714,000).

• Institutional Ownership:

  • Total ownership by hedge funds and institutional investors: 72.20%.

Analyst Upgrades and Market Sentiment

• Analyst Consensus:

  • Average rating: “Moderate Buy”.
  • Average price target: $260.65.

• Recent Upgrades:

  • DA Davidson: Raised target from $235 to $280, “buy” rating.
  • Redburn Atlantic: Raised target from $225 to $235, “buy” rating.
  • Oppenheimer: Raised target from $230 to $260, “outperform” rating.
  • Maxim Group: Raised target from $260 to $280, “buy” rating.
  • Cantor Fitzgerald: Reiterated “overweight” rating with $270 target.

Insider Activity

• CEO Transactions:

  • Sold 27,500 shares at an average price of $230.27 ($6,332,425 total).
  • Sold 20,784 shares at an average price of $220.65 ($4,585,989 total).

• Total Insider Sales:

  • Shares sold: 102,298 worth $22,871,828.
  • Insider ownership: 10.80%.

Stock Performance and Valuation

• Recent Trading:

  • Opened at $194.95 on Friday.
  • 50-day moving average: $219.36.
  • 200-day moving average: $207.85.

• Price Range:

  • 12-month low: $151.61.
  • 12-month high: $242.52.

• Market Capitalization: $2.07 trillion.

• Financial Metrics:

  • P/E ratio: 35.25.
  • PEG ratio: 1.50.
  • Beta: 1.19.
  • Current ratio: 1.06.
  • Quick ratio: 0.87.
  • Debt-to-equity ratio: 0.18.

Earnings and Profitability

• Q4 Results:

  • EPS: $1.86 (vs. consensus estimate of $1.52).
  • Return on equity: 24.25%.
  • Net margin: 9.29%.

• Analyst Expectations:

  • Expected EPS for FY 2024: 6.31.

Company Overview

• Segments: North America, International, Amazon Web Services (AWS).
• Products and Services: Consumer products, advertising, subscriptions, electronic devices (Kindle, Fire tablets, Echo), media content.

Key Takeaways:

• Market Sentiment: Positive with a “Moderate Buy” rating and rising analyst price targets.
• Institutional Confidence: Significant portfolio adjustments by major hedge funds indicate investor confidence.
• Competitive Dynamics: Amazon’s diversified business model (e-commerce, AWS) positions it as a market leader with strong financial performance.
• Long-Term Implications: Positive earnings and increasing analyst sentiment suggest potential for sustained growth.