What Amazon.com (AMZN) Investors Need to Know

By Scott Lee • Thursday, October 26 10:00 • Permanent Link

Amazon.com sank -2.2% today, compared to the S&P 500's day change of -1.0%. Today's losers may turn out to be tomorrow's winners, so be sure to check the stock's fundamentals before making an investment decision:

Amazon.com has moved 7.0% over the last year, and the S&P 500 logged a change of 10.0%
AMZN has an average analyst rating of buy and is -26.12% away from its mean target price of $160.61 per share
Its trailing earnings per share (EPS) is $1.26
Amazon.com has a trailing 12 month Price to Earnings (P/E) ratio of 94.2 while the S&P 500 average is 15.97
Its forward earnings per share (EPS) is $2.96 and its forward P/E ratio is 40.1
The company has a Price to Book (P/B) ratio of 7.26 in contrast to the S&P 500's average ratio of 2.95
Amazon.com is part of the Consumer Discretionary sector, which has an average P/E ratio of 22.33 and an average P/B of 3.12
The company has a free cash flow of $21.14 Billion, which refers to the total sum of all its inflows and outflows of cash over the last quarter
Amazon.com, Inc. engages in the retail sale of consumer products and subscriptions through online and physical stores in North America and internationally. It operates through three segments: North America, International, and Amazon Web Services (AWS). The company's products offered through its stores include merchandise and content purchased for resale; and products offered by third-party sellers. It also manufactures and sells electronic devices, including Kindle, Fire tablets, Fire TVs, Rings, Blink, eero, and Echo; and develops and produces media content. In addition, the company offers programs that enable sellers to sell their products in its stores; and programs that allow authors, musicians, filmmakers, Twitch streamers, skill and app developers, and others to publish and sell content. Further, it provides compute, storage, database, analytics, machine learning, and other services, as well as fulfillment, advertising, and digital content subscriptions. Additionally, the company offers Amazon Prime, a membership program. It serves consumers, sellers, developers, enterprises, content creators, and advertisers. The company was incorporated in 1994 and is headquartered in Seattle, Washington.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.