Amazon.com, Inc. (NASDAQ:AMZN) Stake Lowered by SilverOak Wealth Management LLC

Amazon.com, Inc. (NASDAQ:AMZN) Stake Lowered by SilverOak Wealth Management LLC

  • 19.03.2025 08:26
  • etfdailynews.com
  • Keywords: High Risk

SilverOak Wealth Management reduced its Amazon.com stake by 4.6%, selling 361 shares, while other investors like AMF Tjanstepension AB increased holdings. Insiders, including the CEO, sold shares recently. Analysts have raised price targets, with an average rating of "Moderate Buy." Amazon's stock is trading around $192.82, with a market cap of $2.04 trillion and positive earnings growth expectations.

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Context

Analysis of Amazon.com (NASDAQ:AMZN) Stake Changes and Market Implications

Investment Activity

  • SilverOak Wealth Management LLC reduced its stake in Amazon by 4.6%, selling 361 shares during Q4. Its holdings are now worth $1,653,000.
  • AMF Tjanstepension AB increased its stake by 44.3%, owning 2,641,401 shares valued at $492,172,000 after buying an additional 811,425 shares in Q3.
  • Swedbank AB raised its stake by 1.4%, holding 13,335,826 shares worth $2,484,864,000.
  • Sassicaia Capital Advisers LLC and Howard Capital Management Group LLC also increased their stakes in Q3, with Sassicaia buying a new stake worth $279,000 and Howard adding 897 shares.

Insider Trading

  • Amazon CEO Andrew R. Jassy sold 20,784 shares on February 21 at an average price of $220.65, totaling $4,585,989.60. He now owns 2,118,886 shares valued at $467,532,195.90.
  • CEO Douglas J. Herrington sold 5,501 shares on February 18 at an average price of $228.44, totaling $1,256,648.44. He now owns 505,318 shares valued at approximately $115,434,843.92.
  • Over the last ninety days, insiders have sold a total of 102,298 shares worth $22,871,828. Insiders currently own 10.8% of the company.

Analyst Sentiment

  • Morgan Stanley raised its price target to $280 from $230 and gave an "overweight" rating.
  • Raymond James increased its target to $275 from $260.
  • Mizuho raised its target to $260 from $240 with an "outperform" rating.
  • Barclays upped its target to $265 from $235 and gave an "overweight" rating.
  • Maxim Group increased its target to $280 from $260 with a "buy" rating.
  • The stock has an average rating of "Moderate Buy" and an average target price of $260.65.

Stock Performance

  • Amazon shares opened at $192.82 on Wednesday.
  • Key financial metrics:
    • Debt-to-equity ratio: 0.18
    • Current ratio: 1.06
    • Quick ratio: 0.87
    • One-year high: $242.52
    • One-year low: $151.61
    • Market cap: $2.04 trillion
    • P/E ratio: 34.87
    • PEG ratio: 1.50
    • Beta: 1.19

Financial Highlights

  • Amazon reported $1.86 EPS for the quarter, beating the consensus estimate of $1.52.
  • Net margin: 9.29%
  • Return on equity (ROE): 24.25%
  • Analysts expect 6.31 earnings per share for the current fiscal year.

Market Position and Competitive Landscape

  • Amazon operates in three segments: North America, International, and Amazon Web Services (AWS).
  • The company is a dominant player in e-commerce, advertising, subscriptions, and cloud services.
  • It also manufactures electronic devices like Kindle, Fire tablets, Echo, and Blink, as well as produces media content.

Long-Term Implications

  • The mixed signals from institutional investors and insiders suggest potential near-term volatility but long-term confidence in Amazon's growth trajectory.
  • Analysts' increased price targets indicate a bullish outlook for the company's stock performance.
  • Amazon's strong financial position and diversified business model are expected to drive sustained growth, despite challenges in highly competitive markets.

This analysis highlights the strategic shifts in investor sentiment, insider activity, and market expectations surrounding Amazon.com.