Amazon.com, Inc. (AMZN) AI Stock Analysis

Amazon.com, Inc. is a global conglomerate operating through three main segments: North America, International, and Amazon Web Services (AWS). The company operates retail operations online and in physical stores, offering its own electronic devices like Kindle and Echo alongside third-party seller merchandise. AWS provides cloud computing infrastructure, including storage, computing power, and advanced analytics. In addition, Amazon provides digital media, content creation, digital advertising, content subscriptions, and its Amazon Prime membership program offering exclusive perks and discounts. Headquartered in Seattle, Washington, Amazon serves consumers, businesses, and content creators globally.

Between FY2021 and FY2025, Amazon expanded revenue from $469.82B to $716.92B, reflecting a 5-year revenue CAGR of 13.2%. Net income recovered from -$2.72B in FY2022 to $30.43B in FY2023, $59.25B in FY2024, and $77.67B in FY2025. Gross margin expanded each year, rising from 42.0% in FY2021 to 50.3% in FY2025, while operating margin rose to 11.2%. For the trailing twelve months, revenue reached $775.68B with an operating margin of 13.7% and a profit margin of 17.4%. In the latest quarter ended June 30, 2026, quarterly revenue grew 19.6% year-over-year while quarterly earnings surged 242.3%.

As of June 30, 2026, Amazon held $122.99B in cash and short-term investments against total debt of $223.23B, yielding net debt of $100.24B. The current ratio stood at 1.03, and debt-to-equity was 0.40 against shareholders' equity of $551.62B out of $1.10T in total assets. In FY2025, operating cash flow reached $139.51B and free cash flow was $7.70B, with capital expenditures taking $131.82B. Research and development expense for FY2025 was $108.52B, and total share count expanded 5.6% over five years.

Amazon trades at a trailing P/E of 20.1x and a forward P/E of 23.6x, compared with the median of its Nasdaq-100 Consumer Cyclical peers of 39.8x and 27.0x, respectively. Its enterprise value of $2.79T gives an EV/EBITDA of 11.0x and price-to-sales of 3.5x, both below the peer medians of 21.7x and 4.1x. Over the past year, Amazon shares gained 16.6%, roughly matching the S&P 500 (SPY) return of 16.8%. Over five years, the stock returned 46.7%, trailing the 83.0% return of the S&P 500.

Wall Street sentiment includes 42 Strong Buy, 16 Buy, and 2 Hold ratings, with no Sell or Strong Sell recommendations. The mean price target is $331.46, representing a 32.6% premium over the last close of $250.00. For the fiscal year ending December 31, 2026, consensus estimates project EPS of $12.90, up 79.9%, on revenue of $828.66B. For the following fiscal year, 53 analysts project EPS of $10.55 on revenue of $949.54B. Amazon beat EPS estimates in 3 of the last 4 quarters, with next earnings scheduled for October 29, 2026.

This page is an AI-written research summary of Amazon.com, Inc. (AMZN). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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