Amazon.com (AMZN) Downgraded to “Hold” at Zacks Investment Research
According to Zacks, “Amazon reported impressive fourth-quarter 2018 results with earnings and revenues increasing significantly on a year-over-year basis. The company benefited from its ecommerce dominance as well as continued momentum in AWS. Rapid adoption of Prime, primarily due to its benefits, is a key catalyst. Moreover, Amazon’s growing global footprint and distribution strength remains along with rapid expansion of Prime enabled grocery services and growing physical presence are tailwinds. Further, increasing AWS regions and its growing adoption will continue to aid Amazon’s cloud momentum. Notably, shares have outperformed the industry in the past year based on these factors. However, first-quarter 2019 revenue guidance was disappointing. Also, rising cloud battle and heavy investment in fulfillment centers are headwinds.”
AMZN has been the topic of several other research reports. Royal Bank of Canada reiterated a buy rating on shares of Amazon.com in a report on Monday, October 29th. Stifel Nicolaus reiterated a buy rating and issued a $2,525.00 price target on shares of Amazon.com in a report on Friday, October 12th. Nomura reiterated a buy rating on shares of Amazon.com in a report on Thursday, November 8th. Goldman Sachs Group decreased their price target on Amazon.com from $2,200.00 to $2,000.00 and set a conviction-buy rating on the stock in a report on Friday, January 4th. Finally, SunTrust Banks raised their price target on Amazon.com to $2,250.00 and gave the company a buy rating in a report on Friday, October 26th. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating and forty-four have issued a buy rating to the stock. Amazon.com has an average rating of Buy and an average price target of $2,107.33.
Amazon.com (NASDAQ:AMZN) last announced its earnings results on Thursday, January 31st. The e-commerce giant reported $6.04 earnings per share for the quarter, beating the Zacks’ consensus estimate of $5.55 by $0.49. Amazon.com had a return on equity of 27.02% and a net margin of 4.33%. The company had revenue of $72.38 billion during the quarter, compared to analyst estimates of $71.73 billion. During the same period last year, the company posted $2.16 earnings per share. Equities analysts anticipate that Amazon.com will post 26.47 earnings per share for the current year.
In other news, VP Shelley Reynolds sold 437 shares of Amazon.com stock in a transaction dated Thursday, November 15th. The stock was sold at an average price of $1,573.11, for a total transaction of $687,449.07. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, CEO Jeffrey A. Wilke sold 1,230 shares of Amazon.com stock in a transaction dated Tuesday, November 20th. The shares were sold at an average price of $1,506.94, for a total value of $1,853,536.20. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 5,503 shares of company stock worth $8,552,040. Company insiders own 16.30% of the company’s stock.
Several large investors have recently added to or reduced their stakes in the company. Signet Investment Advisory Group Inc. acquired a new stake in Amazon.com in the 4th quarter valued at approximately $33,000. Spence Asset Management raised its position in Amazon.com by 127.3% in the 4th quarter. Spence Asset Management now owns 25 shares of the e-commerce giant’s stock valued at $38,000 after buying an additional 14 shares during the last quarter. Financial Advantage Inc. acquired a new stake in Amazon.com in the 4th quarter valued at approximately $45,000. Contravisory Investment Management Inc. raised its position in Amazon.com by 112.5% in the 4th quarter. Contravisory Investment Management Inc. now owns 34 shares of the e-commerce giant’s stock valued at $51,000 after buying an additional 18 shares during the last quarter. Finally, O Brien Wealth Partners LLC raised its position in Amazon.com by 104.8% in the 4th quarter. O Brien Wealth Partners LLC now owns 43 shares of the e-commerce giant’s stock valued at $72,000 after buying an additional 22 shares during the last quarter. Institutional investors and hedge funds own 55.69% of the company’s stock.
Amazon.com, Inc engages in the retail sale of consumer products and subscriptions in North America and internationally. The company operates through three segments: North America, International, and Amazon Web Services (AWS) segments. It sells merchandise and content purchased for resale from vendors, as well as those offered by third-party sellers through physical stores and retail Websites, such as amazon.com, amazon.ca, amazon.com.mx, amazon.com.au, amazon.com.br, amazon.cn, amazon.fr, amazon.de, amazon.in, amazon.it, amazon.co.jp, amazon.nl, amazon.es, and amazon.co.uk.
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