Amazon.com (NASDAQ:AMZN) Stock Price Down 1.3% – Should You Sell?

Amazon.com, Inc. (NASDAQ:AMZN) shares traded down 1.3% during mid-day trading on Monday . The stock traded as low as $250.74 and last traded at $253.54. 33,055,119 shares changed hands during trading, a decline of 31% from the average session volume of 47,614,598 shares. The stock had previously closed at $256.78.

More Amazon.com News

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

• Positive Sentiment: Amazon, Netflix and YouTube formed the Streaming Access and Choice Alliance to advocate for consumer access and choice in online content. The initiative could strengthen Amazon’s position in regulatory debates affecting streaming and digital media. Netflix, Amazon, YouTube launch new streaming coalition
• Positive Sentiment: Prime Video is adding local and national short-form news clips, expanding its content offering and increasing competition with TikTok. The move could support engagement and advertising opportunities. Amazon Prime Video takes on TikTok with short-form news clips
• Positive Sentiment: Analysts highlighted strong AWS growth and Amazon’s operating-cash-flow potential, while recent logistics changes— including reduced reliance on UPS—could improve delivery economics and margins over time. UPS Cut Amazon Volumes on Purpose
• Neutral Sentiment: Amazon Ads is piloting a partnership with OpenAI that lets selected advertisers extend Amazon campaigns into ChatGPT through Amazon DSP. The arrangement expands Amazon’s advertising reach, but undisclosed commercial terms and financial contributions make the near-term benefit difficult to assess. Amazon Is Becoming a Gateway to ChatGPT Ads
• Negative Sentiment: Anthropic’s warning about a slower AI development pace revived concerns that Amazon’s substantial AI infrastructure spending may take longer to generate returns. Amazon is particularly exposed through its Anthropic investment, AWS capacity commitments and planned capital expenditures. What Anthropic’s AI Slowdown Call Could Mean For Cloud Giants
• Negative Sentiment: Amazon paused operations with 21 Air after the fatal Miami cargo-plane crash involving an Amazon-branded aircraft. The decision limits immediate operational exposure but raises logistics, safety and reputational concerns. Amazon pauses 21 Air operations after Miami crash
• Negative Sentiment: Billionaire investor Bill Ackman reportedly reduced his Amazon position while increasing exposure to Microsoft and Meta, adding to concerns about relative valuation and AI-strategy execution. Billionaire Bill Ackman Trimmed This Big Tech Position

Wall Street Analyst Weigh In

AMZN has been the subject of several recent research reports. Bank of America boosted their target price on shares of Amazon.com from $310.00 to $320.00 and gave the company a “buy” rating in a research note on Friday, July 31st. Jefferies Financial Group reaffirmed a “buy” rating on shares of Amazon.com in a report on Thursday, June 18th. Evercore set a $355.00 price objective on shares of Amazon.com and gave the stock an “outperform” rating in a research note on Friday, August 28th. Barclays reiterated an “overweight” rating and set a $365.00 price objective (up from $330.00) on shares of Amazon.com in a research note on Friday, July 31st. Finally, Robert W. Baird set a $310.00 target price on Amazon.com and gave the company an “outperform” rating in a research note on Friday, July 31st. One equities research analyst has rated the stock with a Strong Buy rating, fifty-six have given a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $323.26.

Amazon.com Trading Down 1.3%

The firm has a 50-day moving average of $255.56 and a 200 day moving average of $244.40. The company has a current ratio of 1.03, a quick ratio of 0.87 and a debt-to-equity ratio of 0.23. The stock has a market capitalization of $2.73 trillion, a price-to-earnings ratio of 20.40, a PEG ratio of 1.98 and a beta of 1.44.

Amazon.com (NASDAQ:AMZN) last issued its quarterly earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 EPS for the quarter, beating analysts’ consensus estimates of $1.82 by $3.93. Amazon.com had a return on equity of 18.00% and a net margin of 17.44%.The company had revenue of $200.61 billion for the quarter, compared to analyst estimates of $197.03 billion. During the same period last year, the company earned $1.68 earnings per share. The company’s quarterly revenue was up 19.6% compared to the same quarter last year. As a group, equities analysts predict that Amazon.com, Inc. will post 8.05 EPS for the current fiscal year.

Insider Transactions at Amazon.com

In other news, CEO Matthew Garman sold 14,541 shares of the company’s stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $259.06, for a total value of $3,766,991.46. Following the completion of the sale, the chief executive officer directly owned 17,794 shares of the company’s stock, valued at approximately $4,609,713.64. This represents a 44.97% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP David Zapolsky sold 9,258 shares of the stock in a transaction that occurred on Monday, August 24th. The shares were sold at an average price of $259.77, for a total transaction of $2,404,950.66. Following the completion of the transaction, the senior vice president owned 41,190 shares of the company’s stock, valued at $10,699,926.30. This trade represents a 18.35% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 71,589 shares of company stock worth $18,568,785 over the last ninety days. Insiders own 8.90% of the company’s stock.

Institutional Investors Weigh In On Amazon.com

A number of institutional investors have recently added to or reduced their stakes in the company. TOP Private Wealth LLC. bought a new stake in shares of Amazon.com in the 2nd quarter worth $29,000. Bard Associates Inc. bought a new position in Amazon.com during the second quarter valued at about $32,000. Longfellow Investment Management Co. LLC acquired a new position in Amazon.com during the second quarter worth about $33,000. MilWealth Group LLC raised its position in Amazon.com by 79.0% in the fourth quarter. MilWealth Group LLC now owns 179 shares of the e-commerce giant’s stock worth $41,000 after acquiring an additional 79 shares in the last quarter. Finally, Lifetime Wealth Management P.C. acquired a new stake in Amazon.com in the 4th quarter valued at about $45,000. 72.20% of the stock is currently owned by institutional investors and hedge funds.

Amazon.com Company Profile

Amazon.com, Inc is a global technology and e-commerce company that operates online marketplaces and provides a broad range of consumer products and services. Its retail business sells merchandise directly to customers and enables third-party sellers to offer products through Amazon’s websites and applications. The company also operates physical stores and provides services such as digital content, subscriptions, and consumer devices, including Kindle and Echo products.

Amazon Web Services (AWS) provides cloud computing, storage, database, analytics, artificial intelligence, machine learning, and other technology services to businesses, governments, and organizations.