Amazon.com (NASDAQ:AMZN) Trading 9.6% Higher on Strong Earnings

Shares of Amazon.com, Inc. (NASDAQ:AMZN) traded up 9.6% during mid-day trading on Friday following a stronger than expected earnings report. The company traded as high as $250.50 and last traded at $244.22. 165,288,462 shares changed hands during mid-day trading, an increase of 267% from the average session volume of 45,059,379 shares. The stock had previously closed at $222.86.

The e-commerce giant reported $1.95 earnings per share for the quarter, topping analysts’ consensus estimates of $1.57 by $0.38. The firm had revenue of $180.17 billion during the quarter, compared to analyst estimates of $177.53 billion. Amazon.com had a return on equity of 23.84% and a net margin of 10.54%.The business’s quarterly revenue was up 13.4% compared to the same quarter last year. During the same quarter in the prior year, the company posted $1.43 earnings per share. Amazon.com has set its Q4 2025 guidance at EPS.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on AMZN. Stifel Nicolaus lifted their target price on Amazon.com from $269.00 to $295.00 and gave the stock a “buy” rating in a report on Friday. DZ Bank restated a “buy” rating on shares of Amazon.com in a research report on Friday. Canaccord Genuity Group set a $300.00 price objective on Amazon.com and gave the company a “buy” rating in a research report on Friday. Raymond James Financial upped their price objective on Amazon.com from $230.00 to $275.00 and gave the company an “outperform” rating in a research report on Friday. Finally, Evercore ISI upped their target price on Amazon.com from $280.00 to $335.00 and gave the company an “outperform” rating in a research note on Friday. Three analysts have rated the stock with a Strong Buy rating, forty-nine have given a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Buy” and an average target price of $289.88.

Insider Buying and Selling

In related news, SVP David Zapolsky sold 13,570 shares of the stock in a transaction that occurred on Friday, August 22nd. The stock was sold at an average price of $222.76, for a total value of $3,022,853.20. Following the transaction, the senior vice president owned 44,110 shares of the company’s stock, valued at $9,825,943.60. This represents a 23.53% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Andrew R. Jassy sold 19,872 shares of the stock in a transaction that occurred on Thursday, August 21st. The stock was sold at an average price of $221.58, for a total value of $4,403,237.76. Following the completion of the transaction, the chief executive officer directly owned 2,178,502 shares in the company, valued at approximately $482,712,473.16. This trade represents a 0.90% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 95,411 shares of company stock valued at $21,222,702 over the last 90 days. 9.70% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of AMZN. First Command Advisory Services Inc. lifted its holdings in Amazon.com by 17.0% during the third quarter. First Command Advisory Services Inc. now owns 23,350 shares of the e-commerce giant’s stock worth $5,127,000 after buying an additional 3,389 shares during the period. Riverwater Partners LLC lifted its holdings in Amazon.com by 26.4% during the third quarter. Riverwater Partners LLC now owns 6,956 shares of the e-commerce giant’s stock worth $1,527,000 after buying an additional 1,455 shares during the period. Tandem Financial LLC lifted its holdings in Amazon.com by 15.1% during the third quarter. Tandem Financial LLC now owns 2,132 shares of the e-commerce giant’s stock worth $468,000 after buying an additional 280 shares during the period. Chilton Capital Management LLC lifted its holdings in Amazon.com by 3.5% during the third quarter. Chilton Capital Management LLC now owns 527,092 shares of the e-commerce giant’s stock worth $115,734,000 after buying an additional 17,730 shares during the period. Finally, Alta Advisers Ltd lifted its holdings in Amazon.com by 0.6% during the third quarter. Alta Advisers Ltd now owns 48,577 shares of the e-commerce giant’s stock worth $10,666,000 after buying an additional 290 shares during the period. Institutional investors own 72.20% of the company’s stock.

Amazon.com Stock Performance

The business has a fifty day simple moving average of $225.49 and a two-hundred day simple moving average of $215.83. The company has a debt-to-equity ratio of 0.15, a current ratio of 1.02 and a quick ratio of 0.81. The company has a market cap of $2.60 trillion, a PE ratio of 37.23, a price-to-earnings-growth ratio of 1.52 and a beta of 1.28.

Amazon.com Company Profile

Amazon.com, Inc engages in the retail sale of consumer products, advertising, and subscriptions service through online and physical stores in North America and internationally. The company operates through three segments: North America, International, and Amazon Web Services (AWS). It also manufactures and sells electronic devices, including Kindle, Fire tablets, Fire TVs, Echo, Ring, Blink, and eero; and develops and produces media content.