VCI Wealth Management LLC has increased its investment in Amazon.com, Inc. (NASDAQ: AMZN) by 10.2% during the second quarter of 2023. According to HoldingsChannel, the firm now owns 34,205 shares of the e-commerce giant after acquiring an additional 3,172 shares in this period. This investment now represents approximately 2.6% of VCI Wealth Management LLC’s total holdings, making Amazon its 12th largest investment, valued at about $7.5 million.
Several other institutional investors have also adjusted their stakes in Amazon recently. For instance, Carderock Capital Management Inc. initiated a new position in Amazon in the second quarter, valued at approximately $27,000. Similarly, Cooksen Wealth LLC purchased shares worth around $36,000 in the first quarter. Maryland Capital Advisors Inc. significantly increased its position in Amazon by 81.9% during the second quarter, now holding 211 shares valued at $46,000 after acquiring an additional 95 shares. Ryan Investment Management Inc. also entered a new position worth approximately $48,000 in the second quarter, while MJT & Associates Financial Advisory Group Inc. acquired shares valued at around $59,000 in the first quarter. Overall, institutional investors and hedge funds own approximately 72.2% of Amazon’s stock.
Insider Transactions Raise Interest
In related news, significant insider transactions have occurred at Amazon. Chief Financial Officer Brian T. Olsavsky sold 17,750 shares of the company’s stock on August 21, 2023, at an average price of $222.74, resulting in a total sale value of $3,953,635. Following this transaction, Olsavsky retained 49,000 shares, valued at approximately $10.9 million, marking a 26.59% reduction in his holdings.
Additionally, Chief Executive Officer Andrew R. Jassy sold 19,872 shares on the same date for an average price of $221.58, totaling $4,403,237.76. After this sale, Jassy owns 2,178,502 shares, valued at around $482.7 million, reflecting a 0.90% decrease in his position. In total, insiders have sold 128,084 shares worth approximately $29.4 million in the past three months, with company insiders holding about 9.7% of Amazon’s stock.
Amazon’s Financial Performance and Analyst Ratings
Recently, Amazon announced its quarterly earnings on October 30, 2023, reporting earnings per share (EPS) of $1.95, which exceeded analysts’ estimates of $1.57 by $0.38. The company generated revenue of $180.17 billion, surpassing the consensus estimate of $177.53 billion. Amazon’s return on equity stood at 23.84% with a net margin of 10.54%. The quarterly revenue reflects a growth of 13.4% compared to the same quarter last year, when the company reported an EPS of $1.43. For the current fiscal year, analysts project Amazon will achieve an EPS of $6.31.
Investment analysts have generally maintained a positive outlook on Amazon. Wall Street Zen upgraded the company from a “hold” to a “buy” rating in a report issued on August 2, 2023. Following the recent earnings report, JMP Securities set a price target of $300.00 per share. The Telsey Advisory Group raised its target from $265.00 to $300.00, giving Amazon an “outperform” rating. Wells Fargo & Company also increased its price target from $280.00 to $292.00, rating the stock as “overweight.” According to MarketBeat, Amazon currently holds an average rating of “Buy” with an average target price of $294.15.
As Amazon continues to dominate the e-commerce sector, these developments reflect investor confidence and the company’s solid financial performance, positioning it well for future growth.
