While Amazon.com, Inc. (NASDAQ:AMZN) seems to be firing on all cylinders from a business standpoint, expanding in nearly every direction, having by far the best holiday season on record, the stock continues to suffer to start off the year. Today shares of Amazon.com, Inc. (NASDAQ:AMZN) have plunged below the $600 level, briefly touching $598.50 for the first time since October of last year.
Shares are down over 12% on the year so far, as investors wonder if the stock may be overvalued. The current PE ratio for Amazon.com, Inc. (NASDAQ:AMZN) is 872, as the company continues to ramp up spending, aiming for even more growth. The stock more than doubled in 2015, and this may just be a correction along with the rest of the market to start off the new year.
The stock has fallen 2.77% or $17.09 following this negative news, hitting $600.8 per share. Approximately 2.53 million shares traded hands. AMZN shares have risen 45.22% since June 9, 2015 and are currently uptrending. It has outperformed the S&P500 by 52.71%.
From a total of 26 analysts covering Amazon.com (NASDAQ:AMZN) stock, 22 rate it a “Buy”, 0 a “Sell”, and 4 a “Hold”. This means that 85% of the ratings are positive. The highest target price is $850 while the lowest target price is $525. The mean of all analyst targets is $727.12 which is 21.03% above today’s ($600.8) stock price. Amazon.com was the topic of 62 analyst reports since July 21, 2015 according to the firm StockzIntelligence Inc. Credit Suisse maintained shares on January 12 with a “Outperform” rating. Barclays Capital maintained shares with a”Overweight” rating and a $850 target share price in their report from a December 1. Axiom Capital maintained AMZN stock in a recent report from December 28 with a “Buy” rating. Canaccord Genuity maintained the rating on October 23. Canaccord Genuity has a “Hold” rating and a $600 price target on shares. Finally, M Partners initiated the stock with a “Buy” rating in a report they issued on a December 15.
The institutional sentiment increased to 1.49 in Q2 2015. It’s up 0.37, from 1.12 in 2015Q2. The ratio is positive, as 67 funds sold all their Amazon.com, Inc. shares they owned while 376 reduced their positions. 166 funds bought stakes while 493 increased their total positions. Institutions now own 325.29 million shares which is 4.94% more than the previous share count of 309.99 million in 2015Q2.
Huntington Steele Llc holds 23.61% of its total portfolio in Amazon.com, Inc., equating to 103,872 shares. Tiger Global Management Llc owns 3.19 million shares representing 20.13% of their total US portfolio. Moreover, Tybourne Capital Management Hk Ltd has 18.16% of their total portfolio invested in the company, equating to 504,001 shares. The Washington-based Brighton Jones Llc has a total of 17.93% of their portfolio invested in the stock. Telemark Asset Management Llc, a Massachusetts-based fund reported 100,000 shares owned.
Since May 4, 2015, the stock had 0 insider purchases, and 11 selling transactions for a total of $27.04 million in net activity. Stonesifer Patricia Q sold 6,250 shares worth $3.16 million. Wilke Jeffrey A sold 5,908 shares worth $3.16 million. Reynolds Shelley sold 720 shares worth $381,752. Olsavsky Brian T sold 2,098 shares worth $1.11M. The insider Zapolsky David sold 2,322 shares worth $1.23 million.
Amazon.com, Inc. is an e-commerce company. The company has a market cap of $281.63 billion. The Firm sells a range of services and products through its Websites. It has 871.53 P/E ratio. The Company’s products are offered through consumer-facing Websites, which include merchandise and content that it purchases for resale from vendors and those offered by third-party sellers.