Amazon.com (NASDAQ:AMZN) Trading Down 4.4% – Here’s Why

Amazon.com, Inc. (NASDAQ:AMZN)’s stock price fell 4.4% during mid-day trading on Tuesday . The stock traded as low as $222.42 and last traded at $222.55. 60,171,047 shares traded hands during mid-day trading, an increase of 33% from the average session volume of 45,213,348 shares. The stock had previously closed at $232.87.

Analyst Ratings Changes

Several brokerages have recently commented on AMZN. Wells Fargo & Company lifted their target price on Amazon.com from $280.00 to $292.00 and gave the stock an “overweight” rating in a research note on Friday, October 31st. Citigroup increased their price target on Amazon.com from $270.00 to $320.00 and gave the company a “buy” rating in a research note on Friday, October 31st. Bank of America lifted their price objective on shares of Amazon.com from $272.00 to $303.00 and gave the stock a “buy” rating in a research report on Friday, October 31st. Stifel Nicolaus increased their price objective on shares of Amazon.com from $269.00 to $295.00 and gave the company a “buy” rating in a research report on Friday, October 31st. Finally, Weiss Ratings restated a “buy (b-)” rating on shares of Amazon.com in a research note on Thursday. Two investment analysts have rated the stock with a Strong Buy rating, fifty-seven have assigned a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $294.70.

Amazon.com Price Performance

The firm has a market cap of $2.38 trillion, a P/E ratio of 33.93, a PEG ratio of 1.52 and a beta of 1.29. 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’s 50-day moving average is $228.64 and its two-hundred day moving average is $221.28.

Amazon.com (NASDAQ:AMZN) last released its earnings results on Thursday, October 30th. The e-commerce giant reported $1.95 EPS for the quarter, beating the consensus estimate of $1.57 by $0.38. Amazon.com had a net margin of 10.54% and a return on equity of 23.84%. The firm had revenue of $180.17 billion for the quarter, compared to analyst estimates of $177.53 billion. During the same period last year, the firm earned $1.43 EPS. The business’s quarterly revenue was up 13.4% compared to the same quarter last year. Amazon.com has set its Q4 2025 guidance at EPS. Sell-side analysts anticipate that Amazon.com, Inc. will post 6.31 EPS for the current fiscal year.

Insider Activity

In related news, Director Jonathan Rubinstein sold 8,173 shares of the company’s stock in a transaction on Friday, October 31st. The stock was sold at an average price of $250.03, for a total transaction of $2,043,495.19. Following the completion of the sale, the director directly owned 80,030 shares in the company, valued at $20,009,900.90. This represents a 9.27% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, SVP David Zapolsky sold 13,570 shares of the firm’s stock in a transaction dated Friday, August 22nd. The shares were sold at an average price of $222.76, for a total value of $3,022,853.20. Following the completion of the sale, the senior vice president directly owned 44,110 shares in the company, valued at $9,825,943.60. This trade represents a 23.53% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 123,300 shares of company stock valued at $28,294,038. Corporate insiders own 9.70% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Fairway Wealth LLC raised its position in Amazon.com by 113.2% in the third quarter. Fairway Wealth LLC now owns 113 shares of the e-commerce giant’s stock valued at $25,000 after purchasing an additional 60 shares during the last quarter. Carderock Capital Management Inc. bought a new stake in shares of Amazon.com during the second quarter worth about $27,000. Sellwood Investment Partners LLC acquired a new position in shares of Amazon.com in the third quarter valued at approximately $27,000. Cooksen Wealth LLC acquired a new position in shares of Amazon.com in the first quarter valued at approximately $36,000. Finally, Maryland Capital Advisors Inc. raised its holdings in Amazon.com by 81.9% in the 2nd quarter. Maryland Capital Advisors Inc. now owns 211 shares of the e-commerce giant’s stock valued at $46,000 after buying an additional 95 shares during the last quarter. Institutional investors own 72.20% of the company’s stock.

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.