The stock of Amazon.com Inc. (NASDAQ:AMZN) increased by $2.16 on Monday to finish at $140.57, up 1.56 percent. The last five days have seen an average of 50,142,121 shares of common stock traded. 29 times new highs were reached in the current year, with a gain of $56.57. The average number of shares traded over the last 20 days was 62,090,883, while the average volume over the last 50 days totaled 58,146,688.
AMZN stock appreciated 4.37% since last month. On 07/26/23, the company’s shares reached a one-month low of $126.11. The stock touched a high of $146.57 on 08/04/23, after rallying from a low of $81.43 in 52 weeks. The price of AMZN stock has risen by 67.35% or $56.57 this year, reaching a new high 29 times. Still, the stock price is down -4.09% from the 52-week high.
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Insider Transactions
AMZN stock investors should be aware that Amazon.com Inc. (AMZN) stock had its last reported insider trading activity 6 days ago on Aug 09. On Aug 09, 10% Owner AMAZON COM INC sold 1,177,000 shares at $19.50 each. This transaction resulted in the insider making $22,951,500. On Aug 04, Herrington Douglas J sold 50,000 shares at a price of US$141.00. After the transaction, the insider now owns 510,301 shares. CEO Worldwide Amazon Stores Herrington Douglas J had earlier sold 4,000 shares on Aug 01 for $133.55 a share. The transaction was completed for $534,200.
Valuation Metrics
Amazon.com Inc. (AMZN) has a trailing price-to-earnings (P/E) ratio of 111.74. Beta for the stock is 1.23. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 2.70, the price-to-book (PB) ratio of 8.58, and the price-to-cash flow ratio of 452.46.
Financial Health
For the three months ended June 29, Amazon.com Inc.’s quick ratio was 0.70, while its current ratio was 0.90, indicating its inability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 0.48, and the total debt to equity ratio is 0.50. As far as profitability goes, gross margin for the trailing twelve months is 45.50% percent. Amazon.com Inc.’s EBITDA margin for the year ended June 29 was 10.78%, whereas its operating margin stood at 3.30% for the same period. Based on annual data, it had gross profit of $225.15 billion and revenue of $513.98 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. AMZN’s return on assets (ROA) during the last 12 months has been 2.90%. There was a 6.60% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was 8.60%.
Earnings Surprise
According to Amazon.com Inc.’s quarterly financial report for the quarter that ended June 29, it had $63.09 billion in total debt versus $14.44 billion in cash and short-term investments. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $134.38 billion, while revenues rose by 9.78% to $127.36 billion. It was predicted that Amazon.com Inc.’s quarterly earnings would be $0.65, but it ended up being $0.35, beating the consensus by 85.70%. EBITDA was $19.27 billion for the quarter. At the end of Amazon.com Inc.’s most recent quarter ended June 29, its liabilities totaled 309.0 billion, while its total debt was $174.29 billion. Equity owned by shareholders amounts to $10.32 billion.
Technical Picture
Here’s a quick look at Amazon.com Inc.’s (AMZN) price momentum from a technical perspective. As of 14 August, the RSI 9-day stood at 64.95%, suggesting the stock is Neutral, with a 46.04% historical volatility rate.
The stochastic %K and %D were 74.60% and 72.12% respectively, while the average true range (ATR) was 3.79. Based on the 14-day stochastic reading of 82.53%, the RSI (14) reading is 63.04%. On the 9-day MACD Oscillator, the stock is at 2.04, and the 14-day reading is at 4.31.
Analyst Ratings
In a note to investors, Redburn maintained its a Buy rating on Amazon.com Inc. (NASDAQ: AMZN). However, the firm raised their price target to $230, indicating a possible increase of 36.1% in the stock price. Analysts have assigned Amazon.com Inc. (AMZN) an Buy rating. AMZN is a stock that is recommended for selling by 0 brokerage firms, while 4 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 5 rates it overweight and 46 others recommend it as a buy.
What is AMZN’s price target for the next 12 months?
The current consensus forecast for the stock is between $129.90 and $230.00, with a median target price of $175.00. In analyzing these forecasts, the average price target given by analysts for Amazon.com Inc. (AMZN) is $169.94.
