China Renaissance has increased its price target for Amazon.com, Inc. (NASDAQ:AMZN) from $278.00 to $300.00, indicating a potential upside of approximately 22.84% based on the company’s current stock price. The firm has maintained a “buy” rating on the e-commerce giant’s shares, reflecting confidence in the company’s performance and growth prospects.
The adjustment from China Renaissance follows a series of mixed evaluations from other financial analysts. Weiss Ratings downgraded Amazon from a “buy (b-)” to a “hold (c+)” in a report released on October 24, 2023. Meanwhile, Jefferies Financial Group reaffirmed its “buy” rating earlier on October 20, 2023. Additionally, Citigroup raised its target price for Amazon shares from $270.00 to $320.00, also issuing a “buy” rating. Telsey Advisory Group similarly increased its target from $265.00 to $300.00, assigning an “outperform” rating.
Analysts have generally expressed a positive outlook on Amazon, with three rating the stock as a Strong Buy, fifty giving it a Buy rating, one assigning a Hold rating, and one recommending a Sell rating. According to data from MarketBeat, the average rating stands at “Buy” with a consensus price target of $290.76.
Recent Earnings and Insider Transactions
Amazon’s latest quarterly earnings report, released on October 30, 2023, revealed earnings per share (EPS) of $1.95, exceeding analysts’ consensus estimates of $1.57 by $0.38. The company reported quarterly revenue of $180.17 billion, surpassing expectations of $177.53 billion. Year-over-year, Amazon’s revenue increased by 13.4%, demonstrating the company’s resilience in a competitive market.
In terms of insider activity, CEO Matthew S. Garman sold 17,785 shares on August 21, 2023, at an average price of $221.57, amounting to a total of approximately $3.94 million. Following this transaction, Garman retained 3,138 shares, valued at around $695,286.66, reflecting an 85.00% decrease in his position.
Similarly, another CEO, Douglas J. Herrington, disposed of 6,835 shares on the same day, generating approximately $1.51 million at an average price of $221.62. Herrington now holds 520,507 shares valued at over $115 million, which represents a 1.30% reduction in his stake.
Institutional Activity and Company Overview
Recent trading activity has seen several hedge funds adjusting their positions in Amazon. Fairway Wealth LLC increased its holdings by 113.2% during the third quarter, acquiring 113 shares valued at $25,000. Other firms, such as Carderock Capital Management Inc. and Sellwood Investment Partners LLC, have also made new investments in Amazon, reflecting strong institutional interest in the company. Currently, institutional investors own approximately 72.20% of Amazon’s stock.
Amazon.com, Inc. operates in the retail sale of consumer products, advertising, and subscription services through online and physical stores in both North America and internationally. The company’s business segments include North America, International, and Amazon Web Services (AWS), alongside manufacturing and selling electronic devices such as Kindle, Fire tablets, and Echo products.
The financial landscape surrounding Amazon continues to evolve, with various analysts and institutions weighing in on its future performance. As the company navigates a competitive environment, investor interest remains strong, underscored by recent adjustments in stock ratings and price targets.
