Amazon.com shares moved -32.9% over the last 52 weeks, with a high of $158.65 and a low of $81.43. During this time, the stock lagged the S&P 500 index by -27.0%. As of April 2023, the company's 50-day average price is $98.3. Amazon.com, Inc. engages in the retail sale of consumer products and subscriptions through online and physical stores in North America and internationally. The large-cap Consumer Discretionary company has 1,541,000 full time employees and is based in Seattle, WA. Amazon.com has not offered any dividends in the last year.
Increasing Revenues but Narrowing Margins:
| 2019-12-31 | 2020-12-31 | 2021-12-31 | 2022-12-31 | |
|---|---|---|---|---|
| Revenue | $280,522,000 | $386,064,000 | $469,822,000 | $513,983,000 |
| Gross Margins | 13.8% | 13.3% | 14.1% | 13.2% |
| Operating Margins | 5.2% | 5.9% | 5.3% | 2.4% |
| Net Income | $11,588,000 | $21,331,000 | $33,364,000 | -$2,722,000 |
| Net Margins | 4.13% | 5.53% | 7.1% | -0.53% |
| Earnings Per Share | $1.15 | $2.09 | $3.24 | -$0.27 |
| Diluted Shares | 10,080,000 | 10,200,000 | 10,300,000 | 10,258,000 |
| Free Cash Flow | $21,653,000 | $25,924,000 | -$14,726,000 | -$16,893,000 |
| Capital Expenditures | -$16,861,000 | -$40,140,000 | -$61,053,000 | -$63,645,000 |
| Net Current Assets | -$66,854,000 | -$95,058,000 | -$120,724,000 | -$169,841,000 |
| Current Ratio | 1.1 | 1.05 | 1.14 | 0.94 |
| Long Term Debt | $23,414,000 | $31,816,000 | $48,744,000 | $67,150,000 |
| Net Debt / EBITDA | 1.32 | 0.84 | 1.09 | 2.31 |
Amazon.com has negative earnings for the current period, so its trailing twelve month P/E ratio is not meaningful. But based on its EPS guidance of $2.51, the company has a forward P/E ratio of 41.1. In contrast, the Consumer Discretionary sector's average P/E ratio is 22.33.Furthermore, Amazon.com is likely overvalued in terms of its book value, since its P/B ratio is 7.2 compared to its sector average of 3.12.
Amazon.com Has an Average Rating of Buy:
45 analysts are following Amazon.com and have set target prices ranging from $90.0 to $156.5 per share. On average, they have given the company a rating of buy. At the current price of $98.3, AMZN is trading -26.2% away from its average analyst target price of $133.14 per share, implying an analyst consensus of strong upside potential for the stock. The company has a very low short interest since 0.7% of the company's shares are tied to short positions. Institutions own 60.4% of Amazon.com's shares, while the insider ownership rate stands at 9.73%. which is a large amount of insider shareholders. The company's biggest shareholder is the Vanguard Group, Inc. with a 7% stake in the company worth $73,407,300,805.
