Cromwell Holdings Increases Stake in Amazon.com Amid Investor Activity

Cromwell Holdings LLC has increased its investment in Amazon.com, Inc. (NASDAQ: AMZN) by 2.4% during the second quarter of 2023. According to a recent filing with the Securities and Exchange Commission, Cromwell now holds 26,113 shares after acquiring an additional 601 shares. This positions Amazon.com as approximately 3.5% of Cromwell’s total portfolio, making it the firm’s fourth largest holding, valued at about $5.73 million.

Several other institutional investors have also adjusted their stakes in Amazon.com. Western Wealth Management LLC raised its position by 0.9% during the first quarter, now owning 140,122 shares valued at $26.66 million after purchasing 1,297 additional shares. Flaharty Asset Management LLC saw a significant increase of 87.7% in its stake, acquiring 5,088 shares valued at $968,000 after adding 2,377 shares.

Barnes Dennig Private Wealth Management LLC established a new position in Amazon.com worth $514,000. Border to Coast Pensions Partnership Ltd increased its stake by 6.0% in the second quarter, now holding 1,136,311 shares valued at $249.30 million, following a purchase of 63,924 shares. Generali Investments CEE investicni spolecnost a.s. also raised its investment by 5.3%, now owning 84,116 shares worth $18.45 million.

Currently, institutional investors hold approximately 72.20% of Amazon.com’s stock.

Amazon’s Stock Performance and Recent Earnings

On Friday, Amazon.com shares opened at $213.04. The company boasts a market capitalization of $2.27 trillion, with a price-to-earnings (P/E) ratio of 32.48 and a beta of 1.28. The stock has fluctuated significantly over the past year, with a low of $161.38 and a high of $242.52. Amazon’s 50-day moving average stands at $225.66, while the 200-day moving average is $212.64.

In its latest earnings report, released on July 31, 2023, Amazon.com reported earnings of $1.68 per share, exceeding analysts’ expectations of $1.31 by $0.37. The company generated revenue of $167.70 billion, surpassing the consensus estimate of $161.80 billion. Year-over-year, revenue increased by 13.3%.

The return on equity was calculated at 23.84%, and the net margin stood at 10.54%. For the upcoming quarter, Amazon has provided guidance indicating an expected EPS for Q3 2025. Analysts anticipate a projected EPS of $6.31 for the current fiscal year.

Insider Trading Activity

In related developments, Amazon.com’s Chief Financial Officer, Brian T. Olsavsky, sold 17,750 shares on August 21, 2023 at an average price of $222.74, resulting in a transaction valued at $3,953,635. Following the sale, Olsavsky holds 49,000 shares, worth approximately $10.91 million, reflecting a 26.59% reduction in his ownership.

Senior Vice President David Zapolsky also sold 13,570 shares on August 22, 2023, with the stock transacted at an average price of $222.76, totaling $3,022,853.20. After this transaction, Zapolsky’s remaining shares are valued at $9.83 million, marking a 23.53% decrease in his holdings.

Over the past quarter, insiders have sold a total of 10,864,716 shares, valued at approximately $2.49 billion. Currently, corporate insiders own about 9.70% of Amazon.com’s stock.

Analysts’ Outlook on Amazon

Recent analyst reports indicate positive sentiment for Amazon.com. Piper Sandler raised its price target from $250.00 to $255.00, maintaining an “overweight” rating. Evercore ISI reaffirmed an “outperform” rating with a price target of $280.00. Jefferies Financial Group and Cowen also reiterated their “buy” ratings, while Wedbush gave an “outperform” rating with a target of $250.00.

Currently, three analysts rate the stock as a strong buy, forty-seven as a buy, and one as hold, resulting in a consensus rating of “buy” and a target price of $266.26, according to data from MarketBeat.com.

Amazon.com, Inc. continues to be a key player in the retail and technology sectors, engaging in online sales, advertising, and subscription services globally. The company operates through its North America, International, and Amazon Web Services (AWS) segments, alongside manufacturing electronic devices and producing media content.