| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 5/6 |
| Past Performance | 4/6 |
| Financial Health | 5/6 |
| Dividends | 0/6 |
AMZN Stock Overview
Amazon.com, Inc. engages in the retail sale of consumer products and subscriptions in North America and internationally.
Amazon.com Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$3,242.76 |
| 52 Week High | US$3,773.08 |
| 52 Week Low | US$2,881.00 |
| Beta | 1.1 |
| 1 Month Change | -4.64% |
| 3 Month Change | -5.92% |
| 1 Year Change | 4.46% |
| 3 Year Change | 91.18% |
| 5 Year Change | 301.17% |
| Change since IPO | 165,488.03% |
Recent News & Updates
When Should You Buy Amazon.com, Inc. (NASDAQ:AMZN)?
Today we're going to take a look at the well-established Amazon.com, Inc. ( NASDAQ:AMZN ). The company's stock saw...
Amazon One: The Future Of Contactless Payments
In 2020, Amazon introduced Amazon One, a convenient and secure way for somebody to pay or be identified with the palm of their hand. This fall, Amazon announced a partnership with AXS to use Amazon One at the Red Rocks Amphitheater, so theatergoers can use their palm as their ticket for admission. Amazon is known for its brand and customer experience, while Amazon One could be another profit center for Amazon by enabling Amazon One merchants to offer better customer experiences. In this note, we’ll explore why Amazon One is a great opportunity for Amazon to develop profit that benefits merchants and consumers.
Amazon Vs. Walmart Stock: Which Is The Better Buy?
Amazon and Walmart are titans of industry and fierce retail competitors. I will compare them on metrics that include market performance, growth, valuation, return of capital, and profitability to determine the better buy. Let the games begin!
Amazon And Walmart Face Problems With Their India E-Commerce Businesses
AMZN's investment in India has very low revenue contribution and high impact on operating margins. In comparison, WMT's FPKT is slightly better. Neither operation has turned a profit yet. AMZN and WMT indicate this is due to "challenging regulatory landscape", which is only partially true. There may have been exacerbating due diligence lapses. Litigants against both companies allege that these lapses have been going on for very long, which is problematic for continued "business as usual". Interestingly, trends indicate that exiting India e-commerce altogether would deliver very attractive boosts to stock performance to both parent companies in different contexts.
Shareholder Returns
| AMZN | US Online Retail | US Market | |
|---|---|---|---|
| 7D | -0.3% | -0.2% | -0.5% |
| 1Y | 4.5% | -17.7% | 13.7% |
Return vs Industry: AMZN exceeded the US Online Retail industry which returned -17.7% over the past year.
Return vs Market: AMZN underperformed the US Market which returned 13.7% over the past year.
Price Volatility
| AMZN volatility | |
|---|---|
| AMZN Average Weekly Movement | 3.6% |
| Online Retail Industry Average Movement | 10.4% |
| Market Average Movement | 6.6% |
| 10% most volatile stocks in US Market | 15.9% |
| 10% least volatile stocks in US Market | 2.4% |
Stable Share Price: AMZN is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: AMZN's weekly volatility (4%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1994 | 1,298,000 | Andy Jassy | https://www.amazon.com |
Amazon.com, Inc. engages in the retail sale of consumer products and subscriptions in North America and internationally. The company operates through three segments: North America, International, and Amazon Web Services (AWS). It sells merchandise and content purchased for resale from third-party sellers through physical and online stores.
Amazon.com Fundamentals Summary
| AMZN fundamental statistics | |
|---|---|
| Market Cap | US$1.64t |
| Earnings (TTM) | US$26.26b |
| Revenue (TTM) | US$457.97b |
62.6x
P/E Ratio3.6x
P/S RatioIs AMZN overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| AMZN income statement (TTM) | |
|---|---|
| Revenue | US$457.97b |
| Cost of Revenue | US$268.79b |
| Gross Profit | US$189.17b |
| Expenses | US$162.91b |
| Earnings | US$26.26b |
Last Reported Earnings
Sep 30, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | 51.79 |
| Gross Margin | 41.31% |
| Net Profit Margin | 5.73% |
| Debt/Equity Ratio | 47.9% |
How did AMZN perform over the long term?
See historical performance and comparisonValuation
Is Amazon.com undervalued compared to its fair value and its price relative to the market?
48.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: AMZN ($3242.76) is trading below our estimate of fair value ($6230.58)
Significantly Below Fair Value: AMZN is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: AMZN is poor value based on its PE Ratio (62.6x) compared to the US Online Retail industry average (20.1x).
PE vs Market: AMZN is poor value based on its PE Ratio (62.6x) compared to the US market (17.4x).
Price to Earnings Growth Ratio
PEG Ratio: AMZN is poor value based on its PEG Ratio (2.1x)
Price to Book Ratio
PB vs Industry: AMZN is overvalued based on its PB Ratio (13.6x) compared to the US Online Retail industry average (3.1x).
Future Growth
How is Amazon.com forecast to perform in the next 1 to 3 years based on estimates from 45 analysts?
29.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AMZN's forecast earnings growth (29.8% per year) is above the savings rate (2%).
Earnings vs Market: AMZN's earnings (29.8% per year) are forecast to grow faster than the US market (13% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: AMZN's revenue (13.8% per year) is forecast to grow faster than the US market (9.3% per year).
High Growth Revenue: AMZN's revenue (13.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: AMZN's Return on Equity is forecast to be high in 3 years time (22.4%)
Past Performance
How has Amazon.com performed over the past 5 years?
46.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AMZN has a high level of non-cash earnings.
Growing Profit Margin: AMZN's current net profit margins (5.7%) are higher than last year (5%).
Past Earnings Growth Analysis
Earnings Trend: AMZN's earnings have grown significantly by 46.8% per year over the past 5 years.
Accelerating Growth: AMZN's earnings growth over the past year (51.1%) exceeds its 5-year average (46.8% per year).
Earnings vs Industry: AMZN earnings growth over the past year (51.1%) underperformed the Online Retail industry 78.8%.
Return on Equity
High ROE: AMZN's Return on Equity (21.8%) is considered high.
Financial Health
How is Amazon.com's financial position?
Financial Position Analysis
Short Term Liabilities: AMZN's short term assets ($138.5B) exceed its short term liabilities ($124.0B).
Long Term Liabilities: AMZN's short term assets ($138.5B) exceed its long term liabilities ($137.8B).
Debt to Equity History and Analysis
Debt Level: AMZN has more cash than its total debt.
Reducing Debt: AMZN's debt to equity ratio has increased from 46.4% to 47.9% over the past 5 years.
Debt Coverage: AMZN's debt is well covered by operating cash flow (94.6%).
Interest Coverage: AMZN's interest payments on its debt are well covered by EBIT (21.6x coverage).
Balance Sheet
Dividend
What is Amazon.com current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate AMZN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate AMZN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if AMZN's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if AMZN's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of AMZN's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
6.3yrs
Average management tenure
CEO
Andy Jassy (53 yo)
0.50
Tenure
US$35,848,449
Compensation
Mr. Andrew R. Jassy, also known as Andy, has been President, Chief Executive Officer and Director at Amazon.com, Inc. since July 5, 2021. He served as Chief Executive Officer of Amazon Web Services Inc. at...
CEO Compensation Analysis
Compensation vs Market: Andy's total compensation ($USD35.85M) is above average for companies of similar size in the US market ($USD11.18M).
Compensation vs Earnings: Andy's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: AMZN's management team is seasoned and experienced (6.3 years average tenure).
Board Members
Experienced Board: AMZN's board of directors are considered experienced (5.9 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Amazon.com, Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Amazon.com, Inc.
- Ticker: AMZN
- Exchange: NasdaqGS
- Founded: 1994
- Industry: Internet and Direct Marketing Retail
- Sector: Retail
- Implied Market Cap: US$1.645t
- Shares outstanding: 507.15m
- Website: https://www.amazon.com
Number of Employees
Location
- Amazon.com, Inc.
- 410 Terry Avenue North
- Seattle
- Washington
- 98109-5210
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/01/16 23:02 |
| End of Day Share Price | 2022/01/14 00:00 |
| Earnings | 2021/09/30 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.