Amazon.com (NASDAQ:AMZN) Shares Down 4.6% – Should You Sell?

Amazon.com, Inc. (NASDAQ:AMZN) shares fell 4.6% during mid-day trading on Thursday . The stock traded as low as $232.05 and last traded at $233.66. 47,105,172 shares traded hands during trading, a decline of 5% from the average session volume of 49,421,617 shares. The stock had previously closed at $244.85.

Trending Headlines about Amazon.com

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

Analyst Upgrades and Downgrades

A number of analysts have commented on AMZN shares. Phillip Securities upgraded Amazon.com from a “moderate buy” rating to a “buy” rating and set a $280.00 price objective for the company in a research report on Wednesday, May 13th. Pivotal Research restated a “buy” rating and issued a $320.00 target price (up from $300.00) on shares of Amazon.com in a research note on Thursday, April 30th. The Goldman Sachs Group reaffirmed a “buy” rating and issued a $335.00 target price on shares of Amazon.com in a research report on Thursday, July 9th. HSBC increased their price objective on shares of Amazon.com from $280.00 to $310.00 and gave the company a “buy” rating in a research note on Thursday, April 30th. Finally, Oppenheimer lifted their target price on shares of Amazon.com from $275.00 to $320.00 and gave the company an “outperform” rating in a research report on Thursday, April 30th. Fifty-seven 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 presently has an average rating of “Moderate Buy” and an average price target of $312.91.

View Our Latest Analysis on AMZN

Amazon.com Trading Down 4.6%

The company’s fifty day moving average price is $249.58 and its two-hundred day moving average price is $236.30. The company has a current ratio of 1.18, a quick ratio of 1.01 and a debt-to-equity ratio of 0.27. The firm has a market cap of $2.51 trillion, a P/E ratio of 27.95, a price-to-earnings-growth ratio of 1.84 and a beta of 1.46.

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

Insider Activity at Amazon.com

In related news, CEO Matthew S. Garman sold 15,467 shares of the stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $263.40, for a total transaction of $4,074,007.80. Following the sale, the chief executive officer directly owned 14,159 shares in the company, valued at $3,729,480.60. This represents a 52.21% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Andrew R. Jassy sold 20,000 shares of the firm’s stock in a transaction on Thursday, May 21st. The shares were sold at an average price of $263.42, for a total value of $5,268,400.00. Following the sale, the chief executive officer directly owned 2,205,766 shares of the company’s stock, valued at $581,042,879.72. This represents a 0.90% decrease in their ownership of the stock. 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 quarter, insiders have sold 144,274 shares of company stock valued at $38,716,204. Insiders own 8.90% of the company’s stock.

Institutional Trading of Amazon.com

Several large investors have recently made changes to their positions in the business. Trust Asset Management LLC grew its stake 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 valued at $26,000 after purchasing an additional 3,414 shares during the last quarter. MilWealth Group LLC raised its position in Amazon.com by 79.0% in the 4th quarter. MilWealth Group LLC now owns 179 shares of the e-commerce giant’s stock worth $41,000 after purchasing an additional 79 shares during the last quarter. Lifetime Wealth Management P.C. bought a new position in Amazon.com in the 4th quarter worth approximately $45,000. Elkhorn Partners Limited Partnership lifted its holdings in Amazon.com by 900.0% during the 4th quarter. Elkhorn Partners Limited Partnership now owns 200 shares of the e-commerce giant’s stock worth $46,000 after buying an additional 180 shares in the last quarter. Finally, Fairway Wealth LLC lifted its holdings in Amazon.com by 95.6% during the 4th quarter. Fairway Wealth LLC now owns 221 shares of the e-commerce giant’s stock worth $51,000 after buying an additional 108 shares in the last quarter. Institutional investors own 72.20% of the company’s stock.

Amazon.com Company Profile

(Get Free Report)

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.

Further Reading

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