Amazon.com (NASDAQ:AMZN) Stock Price Up 1.9% – Still a Buy?

Shares of Amazon.com, Inc. (NASDAQ:AMZN) traded up 1.9% during mid-day trading on Friday . The company traded as high as $257.59 and last traded at $256.78. 25,916,895 shares traded hands during trading, a decline of 46% from the average daily volume of 47,656,273 shares. The stock had previously closed at $251.89.

Key Stories Impacting Amazon.com

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

• Positive Sentiment: AWS remains the primary bullish catalyst. Analysts and market commentators described AWS as the “heartbeat” of the AI trade, citing its fastest growth in 18 quarters and Amazon’s ability to combine cloud AI services with its large e-commerce ecosystem. AWS Cloud Heartbeat of AI Trade
• Positive Sentiment: A major Qualcomm partnership strengthens Amazon’s AI infrastructure position. Amazon could purchase as much as $60 billion of Qualcomm AI data-center chips and related products under a long-term agreement. The deal supports AWS capacity expansion and signals confidence in sustained AI demand, although it also implies substantial future capital spending. Qualcomm AI Ambitions Get a Boost From Amazon Partnership
• Positive Sentiment: Amazon’s AI products are gaining enterprise validation. Rivian used Amazon Bedrock to automate finance work and eliminate more than 15 days of manual effort per close cycle, offering a concrete example of potential Bedrock demand. Amazon also expanded its Quick AI assistant to mobile devices. Rivian’s AI Agents Cut 15 Days From Every Close
• Positive Sentiment: Prime Air is moving closer to broader UK drone deliveries. Amazon completed more than 500 flights during a UK trial and is seeking approval to expand service in Darlington. Successful deployment could improve delivery economics and support longer-term logistics automation. Amazon delivery drones set for UK expansion
• Neutral Sentiment: Amazon Pay India is considering travel insurance and other financial products, expanding its potential addressable market but providing limited near-term earnings impact. Amazon Pay plans to expand insurance offerings
• Negative Sentiment: Risks remain around costs, leverage, and operations. Amazon’s AI buildout requires heavy capital spending and new debt, while potential changes to Ohio data-center tax incentives could reduce project economics. Separately, a fatal accident involving an aircraft operating for Prime Air has increased regulatory and reputational risk. Amazon’s Aviation Network Faces a Sobering Test

Wall Street Analyst Weigh In

Several analysts have recently commented on the company. Barclays reissued an “overweight” rating and issued a $365.00 price objective (up from $330.00) on shares of Amazon.com in a research note on Friday, July 31st. DA Davidson reiterated a “neutral” rating and set a $250.00 price target on shares of Amazon.com in a report on Friday, July 31st. Zacks Research upgraded Amazon.com from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, August 4th. Evercore set a $355.00 price objective on shares of Amazon.com and gave the stock an “outperform” rating in a report on Friday, August 28th. Finally, Weiss Ratings reiterated a “buy (b)” rating on shares of Amazon.com in a report on Monday, August 3rd. One equities research analyst has rated the stock with a Strong Buy rating, fifty-six have issued a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $323.26.

Amazon.com Price Performance

The business has a fifty day moving average of $255.56 and a 200-day moving average of $244.13. The company has a current ratio of 1.03, a quick ratio of 0.87 and a debt-to-equity ratio of 0.23. The firm has a market cap of $2.77 trillion, a PE ratio of 20.66, a PEG ratio of 1.98 and a beta of 1.44.

Amazon.com (NASDAQ:AMZN) last posted its earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share for the quarter, beating analysts’ consensus estimates of $1.82 by $3.93. Amazon.com had a return on equity of 18.00% and a net margin of 17.44%.The business had revenue of $200.61 billion during the quarter, compared to analyst estimates of $197.03 billion. During the same quarter in the previous year, the firm earned $1.68 EPS. The company’s quarterly revenue was up 19.6% compared to the same quarter last year. As a group, research analysts predict that Amazon.com, Inc. will post 8.05 earnings per share for the current year.

Insider Activity at Amazon.com

In related news, SVP David Zapolsky sold 9,258 shares of the company’s stock in a transaction that occurred on Monday, August 24th. The shares were sold at an average price of $259.77, for a total transaction of $2,404,950.66. Following the sale, the senior vice president owned 41,190 shares of the company’s stock, valued at approximately $10,699,926.30. This represents a 18.35% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Douglas Herrington sold 6,362 shares of the stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $259.01, for a total transaction of $1,647,821.62. Following the completion of the sale, the chief executive officer owned 476,681 shares in the company, valued at $123,465,145.81. This represents a 1.32% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 71,589 shares of company stock valued at $18,568,785 in the last quarter. 8.90% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Amazon.com

A number of large investors have recently modified their holdings of AMZN. Bullseye Investment Management LLC purchased a new position in Amazon.com in the 2nd quarter worth $2,688,000. Smith Chas P & Associates PA Cpas increased its holdings in shares of Amazon.com by 2.4% in the second quarter. Smith Chas P & Associates PA Cpas now owns 195,038 shares of the e-commerce giant’s stock worth $46,485,000 after buying an additional 4,639 shares during the period. Talon Private Wealth LLC lifted its stake in shares of Amazon.com by 20.0% in the 2nd quarter. Talon Private Wealth LLC now owns 18,859 shares of the e-commerce giant’s stock valued at $4,495,000 after acquiring an additional 3,139 shares during the last quarter. Marathon Wealth Advisors LLC boosted its holdings in Amazon.com by 0.3% during the 2nd quarter. Marathon Wealth Advisors LLC now owns 43,760 shares of the e-commerce giant’s stock valued at $10,430,000 after acquiring an additional 114 shares during the period. Finally, U S Wealth Group LLC. grew its position in Amazon.com by 7.7% during the 2nd quarter. U S Wealth Group LLC. now owns 21,770 shares of the e-commerce giant’s stock worth $5,189,000 after acquiring an additional 1,562 shares during the last quarter. 72.20% of the stock is owned by hedge funds and other institutional investors.

Amazon.com Company Profile

Amazon.com, Inc is a global technology and e-commerce company that operates online marketplaces and provides a broad range of consumer products and services. Its retail business sells merchandise directly to customers and enables third-party sellers to offer products through Amazon’s websites and applications. The company also operates physical stores and provides services such as digital content, subscriptions, and consumer devices, including Kindle and Echo products.

Amazon Web Services (AWS) provides cloud computing, storage, database, analytics, artificial intelligence, machine learning, and other technology services to businesses, governments, and organizations.