Amazon.com (NASDAQ:AMZN) Shares Down 2.2% on Analyst Downgrade

Amazon.com, Inc. (NASDAQ:AMZN) traded down 2.2% during mid-day trading on Thursday after New Street Research lowered their price target on the stock from $350.00 to $285.00. New Street Research currently has a buy rating on the stock. Amazon.com traded as low as $197.56 and last traded at $199.60. 83,152,871 shares changed hands during trading, an increase of 53% from the average session volume of 54,289,598 shares. The stock had previously closed at $204.08.

A number of other equities analysts have also weighed in on AMZN. Desjardins upped their target price on shares of Amazon.com to $218.00 in a research note on Monday, December 8th. Wells Fargo & Company increased their price objective on Amazon.com from $301.00 to $305.00 and gave the stock an “overweight” rating in a report on Friday, February 6th. Citizens Jmp boosted their target price on Amazon.com from $300.00 to $315.00 and gave the company an “outperform” rating in a research note on Monday, February 2nd. Evercore reaffirmed an “outperform” rating and set a $285.00 price target (down from $335.00) on shares of Amazon.com in a research note on Monday, February 2nd. Finally, William Blair reiterated an “outperform” rating on shares of Amazon.com in a report on Monday, November 3rd. One investment analyst has rated the stock with a Strong Buy rating, fifty-four have assigned a Buy rating and four have assigned a Hold rating to the company’s stock. According to MarketBeat.com, Amazon.com has a consensus rating of “Moderate Buy” and a consensus price target of $287.48.

Insider Activity

In other Amazon.com news, CEO Douglas J. Herrington sold 4,784 shares of the company’s stock in a transaction that occurred on Monday, November 17th. The stock was sold at an average price of $232.71, for a total value of $1,113,284.64. Following the sale, the chief executive officer owned 498,182 shares in the company, valued at $115,931,933.22. This represents a 0.95% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Daniel P. Huttenlocher sold 1,237 shares of the stock in a transaction on Thursday, November 20th. The shares were sold at an average price of $226.61, for a total value of $280,316.57. Following the completion of the sale, the director owned 26,148 shares in the company, valued at approximately $5,925,398.28. This trade represents a 4.52% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 48,061 shares of company stock valued at $10,559,262. 9.70% of the stock is owned by insiders.

Key Headlines Impacting Amazon.com

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

• Positive Sentiment: AWS momentum and cloud demand remain a structural support for AMZN; analysts point to expanding AI and cloud revenues that underpin long‑term growth. AWS Momentum Supports Amazon.com
• Positive Sentiment: Amazon’s minority stake in BETA Technologies and other strategic bets could boost logistics/sustainability optionality and have drawn analyst interest as long‑term strategic wins. Amazon Bets Big on BETA
• Positive Sentiment: Amazon‑backed X‑Energy secured a U.S. nuclear fuel license — a long‑dated infrastructure win that could help power data centers and reduce energy costs for AWS over time. X‑Energy Secures Nuclear Fuel License
• Positive Sentiment: Amazon Pharmacy continues to expand same‑day delivery to thousands more cities — a near‑term revenue/market‑share positive for the retail segment. Amazon Pharmacy Same‑Day Expansion
• Positive Sentiment: Large institutional activity: several managers (e.g., PRIMECAP, Egerton) have recently increased stakes, signaling conviction from long‑term holders. PRIMECAP Boosts Amazon Stake
• Neutral Sentiment: Amazon’s satellite/LEO program advanced with a multi‑satellite Ariane 6 launch — a strategic long‑term investment but cash‑intensive today. Ariane 6 Launches Amazon LEO Satellites
• Neutral Sentiment: Some analysts trimmed price targets (New Street cut its target but left a buy rating), reflecting mixed near‑term views while maintaining longer‑term upside. New Street Lowers Price Target
• Negative Sentiment: Technical and sentiment pressure: multiple outlets report AMZN entered a bear market and just hit its worst multi‑day losing streak in nearly 20 years as investors punish heavy capex and rotate out of big tech. Worst Losing Streak / Bear Market
• Negative Sentiment: Investors are explicitly worried about the ~$200B AI capex plan (and the broader $700B hyperscaler capex wave) — concerns center on cash flow, near‑term returns and multiple compression. Mag 7 CapEx Wave
• Negative Sentiment: Reputational and regulatory noise: Ring’s Super Bowl ad backlash led Amazon’s Ring to cancel a Flock Safety partnership, and Italian tax authorities conducted searches in a new probe — both add short‑term headline risk. Ring Ad Backlash / Flock Cancellation Italian Tax Probe

Institutional Investors Weigh In On Amazon.com

Institutional investors have recently made changes to their positions in the company. Norges Bank purchased a new position in Amazon.com in the fourth quarter valued at about $32,868,735,000. Nuveen LLC purchased a new stake in Amazon.com in the 1st quarter worth about $11,674,091,000. Cardano Risk Management B.V. lifted its stake in shares of Amazon.com by 879.4% during the 4th quarter. Cardano Risk Management B.V. now owns 27,862,400 shares of the e-commerce giant’s stock valued at $6,431,199,000 after buying an additional 25,017,588 shares in the last quarter. Vanguard Group Inc. boosted its holdings in shares of Amazon.com by 2.1% in the second quarter. Vanguard Group Inc. now owns 849,721,601 shares of the e-commerce giant’s stock worth $186,420,422,000 after acquiring an additional 17,447,045 shares during the period. Finally, Laurel Wealth Advisors LLC grew its position in shares of Amazon.com by 22,085.8% in the second quarter. Laurel Wealth Advisors LLC now owns 12,177,557 shares of the e-commerce giant’s stock valued at $2,671,634,000 after purchasing an additional 12,122,668 shares in the last quarter. Institutional investors own 72.20% of the company’s stock.

Amazon.com Price Performance

The company has a current ratio of 1.05, a quick ratio of 0.88 and a debt-to-equity ratio of 0.16. The firm has a market cap of $2.13 trillion, a PE ratio of 27.73, a PEG ratio of 1.28 and a beta of 1.37. The business has a fifty day moving average of $230.69 and a 200-day moving average of $228.85.

Amazon.com (NASDAQ:AMZN) last announced its quarterly earnings results on Thursday, February 5th. The e-commerce giant reported $1.95 earnings per share for the quarter, missing the consensus estimate of $1.97 by ($0.02). The company had revenue of $213.39 billion for the quarter, compared to the consensus estimate of $211.02 billion. Amazon.com had a net margin of 10.83% and a return on equity of 21.87%. The company’s quarterly revenue was up 13.6% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.86 earnings per share. As a group, research analysts predict that Amazon.com, Inc. will post 6.31 earnings per share for the current year.

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.