What Amazon.com (AMZN) Investors Need to Know Today

Shares of Large-cap consumer discretionary company Amazon.com moved 2.1 this evening, and are now trading at $142.71 per share. On the other hand, the average analyst target price for the stock is $160.61.

Amazon.com, Inc. engages in the retail sale of consumer products and subscriptions through online and physical stores in North America and internationally.

Amazon.com Investors Should Consider This:

  • Amazon.com has moved 59.0% over the last year.

  • The company has a price to earnings growth (PEG) ratio of 0.73. A number between 0 and 1 could mean that the market is undervaluing Amazon.com's estimated growth potential

  • Its Price to Book (P/B) ratio is 8.06

Understanding Amazon.com's Operating Margins

Date Reported Total Revenue ($ k) Operating Expenses ($ k) Operating Margins (%) YoY Growth (%)
2023 538,046,000 520,329,000 3 50.0
2022 513,983,000 501,735,000 2 -75.0
2021 469,822,000 444,943,000 8 33.33
2020 386,064,000 363,165,000 6 20.0
2019 280,522,000 265,981,000 5 0.0
2018 232,887,000 220,466,000 5

Over the last 6 years, Amazon.com's operating margins have averaged 4.8%, which is similar to the 5.43% Specialty Retail industry average. We also note that the company's operating margins have a high coefficient of variability at 1007.0%. The firm's margins are declining at a -6.7% compounded yearly rate.

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.

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