Amazon.com (NASDAQ:AMZN) Trading 2.6% Higher – Time to Buy?
by Danessa Lincoln · The Markets DailyAmazon.com, Inc. (NASDAQ:AMZN) rose 2.6% during mid-day trading on Friday . The company traded as high as $211.17 and last traded at $210.11. Approximately 65,276,416 shares were traded during mid-day trading, an increase of 19% from the average daily volume of 54,805,727 shares. The stock had previously closed at $204.86.
Trending Headlines about Amazon.com
Here are the key news stories impacting Amazon.com this week:
- Positive Sentiment: Supreme Court tariff ruling lifts e‑commerce peers and helps Amazon by removing a policy headwind to cross‑border goods and pricing, supporting retail sales momentum. Amazon, Etsy, other e-commerce stocks pop after Supreme Court rules against Trump’s tariffs
- Positive Sentiment: Large cloud demand signal — analysis that Anthropic and other AI firms will pay tens of billions to cloud partners through 2029 boosts the AWS revenue outlook and supports upside for AMZN’s higher‑margin AWS segment. Anthropic to pay cloud partners $80B
- Positive Sentiment: Retail distribution wins — brands like Bath & Body Works launching official Amazon storefronts underscore continued marketplace monetization and third‑party logistics/fulfillment traction. Bath & Body Works launches on Amazon / related marketplace integrations
- Neutral Sentiment: Notable institutional flows are mixed — some prominent investors (Klarman, Pershing Square, others) have added positions while others trimmed; these large moves create headline volatility but are not a clear directional signal. Pershing Square boosts Amazon stake
- Neutral Sentiment: Insider disclosure — CEO Douglas Herrington sold a small block of shares; disclosure matters for transparency but the size is immaterial to overall insider ownership. SEC Form 4
- Negative Sentiment: AWS reliability concerns — multiple reports (FT/Reuters/Guardian) say at least two outages last year were linked to Amazon’s internal AI tools (Kiro), raising questions about operational risk as Amazon scales autonomous tooling. Amazon’s cloud unit hit by at least two outages involving AI tools, FT says
- Negative Sentiment: CapEx and valuation pressure — analyst notes and price‑target cuts are tied to Amazon’s planned ~$200B CapEx push for AI/data centers in 2026; the spending plan supports long‑term AWS growth but depresses near‑term free cash flow and multiples. Price targets cut as $200B CapEx plan weighs on sentiment
- Negative Sentiment: Legal risk — Washington Supreme Court ruled families can sue Amazon over sodium nitrite sales, creating litigation exposure and headline risk that can hit sentiment. Amazon can be sued over suicides linked to sodium nitrite, court rules
Analyst Ratings Changes
A number of equities research analysts have issued reports on the company. The Goldman Sachs Group increased their price target on Amazon.com from $290.00 to $300.00 and gave the stock a “buy” rating in a research note on Wednesday, January 14th. JPMorgan Chase & Co. reissued a “buy” rating on shares of Amazon.com in a report on Friday, February 6th. Evercore set a $285.00 price target on Amazon.com in a research note on Friday, February 6th. Morgan Stanley reiterated an “overweight” rating and set a $300.00 price objective (down previously from $315.00) on shares of Amazon.com in a research report on Friday, February 6th. Finally, Weiss Ratings reaffirmed a “buy (b)” rating on shares of Amazon.com in a research note on Monday, December 29th. One research analyst has rated the stock with a Strong Buy rating, fifty-three have assigned a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $287.30.
Check Out Our Latest Stock Report on AMZN
Amazon.com Stock Performance
The company has a quick ratio of 0.88, a current ratio of 1.05 and a debt-to-equity ratio of 0.16. The firm has a 50 day moving average price of $228.54 and a 200 day moving average price of $228.15. The stock has a market cap of $2.26 trillion, a PE ratio of 29.30, a price-to-earnings-growth ratio of 1.31 and a beta of 1.37.
Amazon.com (NASDAQ:AMZN – Get Free Report) last issued its earnings results on Thursday, February 5th. The e-commerce giant reported $1.95 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.97 by ($0.02). Amazon.com had a return on equity of 21.87% and a net margin of 10.83%.The business had revenue of $213.39 billion for the quarter, compared to the consensus estimate of $211.02 billion. During the same quarter in the previous year, the company earned $1.86 earnings per share. The firm’s revenue was up 13.6% on a year-over-year basis. As a group, research analysts forecast that Amazon.com, Inc. will post 6.31 earnings per share for the current year.
Insiders Place Their Bets
In other Amazon.com news, CEO Douglas J. Herrington sold 4,784 shares of the stock in a transaction on Tuesday, February 17th. The stock was sold at an average price of $198.37, for a total transaction of $949,002.08. Following the sale, the chief executive officer owned 512,109 shares of the company’s stock, valued at approximately $101,587,062.33. This trade represents a 0.93% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders sold a total of 8,284 shares of company stock worth $1,740,052 in the last ninety days. 9.70% of the stock is owned by corporate insiders.
Institutional Investors Weigh In On Amazon.com
Institutional investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. increased its holdings in shares of Amazon.com by 2.1% during the second quarter. Vanguard Group Inc. now owns 849,721,601 shares of the e-commerce giant’s stock valued at $186,420,422,000 after acquiring an additional 17,447,045 shares in the last quarter. State Street Corp grew its position in Amazon.com by 1.8% during the 4th quarter. State Street Corp now owns 388,653,121 shares of the e-commerce giant’s stock worth $89,708,913,000 after purchasing an additional 6,971,680 shares during the last quarter. Geode Capital Management LLC increased its stake in Amazon.com by 1.1% during the 4th quarter. Geode Capital Management LLC now owns 225,120,994 shares of the e-commerce giant’s stock valued at $51,753,622,000 after purchasing an additional 2,479,324 shares in the last quarter. Norges Bank purchased a new position in shares of Amazon.com in the fourth quarter worth $32,868,735,000. Finally, Northern Trust Corp lifted its stake in shares of Amazon.com by 0.3% during the first quarter. Northern Trust Corp now owns 97,379,134 shares of the e-commerce giant’s stock worth $18,527,354,000 after buying an additional 302,858 shares during the period. Institutional investors own 72.20% of the company’s stock.
About Amazon.com
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.