Amazon.com, Inc.
Mega Cap · Consumer Cyclical · Internet Retail
$262.66−$2.47 (-0.93%)
Amazon.com, Inc.
Mega Cap · Consumer Cyclical · Internet Retail
$262.66−$2.47 (-0.93%)
Stock analysis
Accumulate
MED CONVICTION
- Amazon is growing faster than its other measured qualities, giving the company more room to increase profit and fund expansion.
- Amazon earns strong returns with moderate debt, giving management cash and borrowing room to keep investing through market uncertainty.
Past performance
3M
+1.2%
6M
+23.3%
1Y
+23.0%
Set alerts
Add zonebelow $265
Trim zoneabove $317
Support · Pivot
$257
2.2% belowResistance · R1
$288
9.6% aboveUnderstand AMZN
1.How does the business make money?Amazon combines online retail with higher-margin businesses: fees from outside sellers, cloud computing through AWS, digital advertising, memberships, and physical stores. Retail brings customers and traffic, while AWS, ads, and subscriptions help make the overall model more profitable.
2.How are the financials doing?The business is growing at a healthy pace, and profits have improved sharply as operating efficiency and AWS strength lift margins. Cash generation has recently turned negative, however, likely reflecting heavy spending on data centers and other expansion, so investors will want to see those investments produce lasting returns.
3.What is the market expecting?Expectations are broadly optimistic: analysts see continued strong earnings growth and mostly rate the shares positively. That confidence is already reflected in a growth-oriented valuation, so Amazon may need to keep delivering strong results rather than merely meeting ordinary forecasts.
4.What’s helping the business grow?AWS remains a major engine as companies shift more computing and artificial-intelligence workloads to the cloud, while advertising and third-party seller services expand alongside Amazon’s large customer base. Better retail execution, faster delivery, subscriptions, and international improvement provide additional room for growth.
5.What could hurt the business?The biggest risks are enormous infrastructure spending, tougher competition in cloud, retail, advertising, and AI, and weaker consumer demand. Regulation, labor and delivery costs, foreign-exchange swings, and a failure to turn the current AI investment wave into higher profits could also pressure results; there is not enough current evidence to validate the recent optimistic growth headline.
Stock Fundamentals & Key Indicators
52-week range
Low$196.00
High$278.56
Today $262.66
RSI (14)
66.4Neutral
03070100
Overall score
72/100
Reported growth
Revenue growth (TTM)14.2
Sales are growing below the sector average of 16.6%, meaning the business is losing ground to peers.
EPS growth (TTM)35.5
Profit per share is growing ahead of the sector average of 27.3%.
EPS growth (Q/Q)75.3
Earnings grew at a strong pace versus last quarter.
Forward outlook
EPS forecast (5Y)21.8
Analysts expect earnings growth ahead of the sector average of 19.8% over the next 5 years.
EPS next year14.3
Analysts expect a strong pace of earnings growth next year.
Analyst Rating and Sentiment
Analyst price targets
Lowest
$230
Current price
$262.66
Median target
$325
Highest
$400
LowHigh
Crowd signal
50
Bullish
50%
Bearish
50%
Crowd sentiment leans mixed, with a score of 50/100.
Operating Record
Revenue
Business mix
Jun 30, 2026Online Stores36.8% · $285.1B
Third Party Seller Services23.7% · $183.7B
AWS19.1% · $148.4B
Advertising9.8% · $76.1B
Subscription6.8% · $52.9B
Physical Stores3.0% · $23.0B
Other0.8% · $6.6B
Geographic mix
Jun 30, 2026North America72.3% · $453.7B
International27.7% · $173.6B
What's working
- ROE: Shareholder capital is compounding at a rate worth paying attention to.
- Debt / equity: Light borrowing means a rough patch wouldn't threaten the balance sheet.
What to watch
- Debt exceeds cash by $100.2B, increasing balance-sheet pressure, a warning sign.
What the market charges
Forward P/E
Middle ground · 6% above avg
29.54x
Price / sales
Reasonable · Priced reasonably against its revenue
3.82x
Price / FCF
No signal · Not enough data to judge
-
EV / EBITDA
Reasonable · Operating earnings make this price a stretch but plausible
18.29x
How efficiently it compounds
ROIC
Reasonable · A middling return on the capital it puts to work
11.9%
ROE
Favorable · 24.3% - strong capital efficiency
30.6%
Debt / equity
Favorable · 0.51 - strong leverage
0.46x
Current ratio
Reasonable · Just enough on hand to cover near-term bills
1.03x
Peer Comparison
| Company | Mkt cap | P/E | Rev growth | Score |
|---|---|---|---|---|
| $2.96T | 22.1 | +15.8% | 72 |
 | $12.43B | 39.7 | +23.0% | 77 |
 | $37.29B | 19.4 | +12.0% | 74 |
 | $16.80B | 18.1 | +15.6% | 74 |
 | $13.51B | 30.8 | +25.9% | 74 |
What is moving AMZN
News
1d ago · Microsoft Corporation via Yahoo Finance
Tiger Global Management cuts stakes in Big Tech, buys into SpaceX
Mixed
1d ago · Netflix, Inc. via Nasdaq
Solana Has Plans to Become 'The Netflix of Finance.' What Does That Mean for the Price of SOL?
Bearish
1d ago · Walmart Inc. via Nasdaq
Q2 Earnings Season Enters Final Stretch: Walmart Headlines Upcoming Retail Earnings
Mixed
1d ago · Oracle Corporation via NasdaqOracle Expands AI Database Offerings Through AWS Cloud: What's Ahead?
Bullish
1d ago · Invesco QQQ Trust via Nasdaq
Stocks Rally on the Favorable US PPI Report
Bullish- 2d ago · Invesco QQQ Trust via Nasdaq
Stocks See Support from Favorable PPI Report
Bullish - 2d ago · Oracle Corporation via Yahoo Finance
Oracle stock jumps as AWS partnership expands to 22 regions
Bullish