-1.02%
6.95%
25.88%
25.49%
51.19%
56.88%
133.61%
AI Spotlight on AMZN
Company Description
Amazon.com, Inc.engages in the retail sale of consumer products and subscriptions through online and physical stores in North America and internationally.The company operates through three segments: North America, International, and Amazon Web Services (AWS).
Its products offered through its stores include merchandise and content purchased for resale; and products offered by third-party sellers The company also manufactures and sells electronic devices, including Kindle, Fire tablets, Fire TVs, Rings, Blink, eero, and Echo; and develops and produces media content.In addition, it offers programs that enable sellers to sell their products in its stores; and programs that allow authors, musicians, filmmakers, Twitch streamers, skill and app developers, and others to publish and sell content.Further, the company provides compute, storage, database, analytics, machine learning, and other services, as well as fulfillment, advertising, and digital content subscriptions.
Additionally, it offers Amazon Prime, a membership program.The company serves consumers, sellers, developers, enterprises, content creators, and advertisers.Amazon.com, Inc.
was incorporated in 1994 and is headquartered in Seattle, Washington.
Market Data
| Last Price | 234.64 |
| Change Percentage | -1.02% |
| Open | 237.31 |
| Previous Close | 237.07 |
| Market Cap ( Millions) | 2467240 |
| Volume | 31495627 |
| Year High | 241.77 |
| Year Low | 151.61 |
| M A 50 | 220.72 |
| M A 200 | 193.88 |
Financial Ratios
| FCF Yield | 1.74% |
| Dividend Yield | 0.00% |
| ROE | 21.82% |
| Debt / Equity | 51.97% |
| Net Debt / EBIDTA | 52.52% |
| Price To Book | 9.51 |
| Price Earnings Ratio | 49.41 |
| Price To FCF | 57.44 |
| Price To sales | 3.98 |
| EV / EBITDA | 22.27 |
News
- 00:29 - Report: Amazon and Apple Considering Increasing Ad Spending on X
- Jan -30 - UPS CEO Carol Tomé on Amazon pullback, profit growth, and logistics expansion
- Jan -30 - Amazon ramps up ad spending on Elon Musk's X, WSJ reports
- Jan -30 - UPS paid a big price for your Amazon deliveries
- Jan -30 - UPS CEO Carol Tomé: Our profit will increase with more limited Amazon relationship
- Jan -30 - Amazon cuts jobs in Sustainability department
- Jan -30 - UPS 'taking control' by cutting Amazon volume, CFO says
- Jan -30 - Amazon AI-Powered AWS Boom: Can It Outshine Microsoft Azure?
- Jan -30 - UPS shares tank 17% after weak guidance, plan to slash Amazon deliveries by more than half
- Jan -30 - UPS plunged after saying it'll deliver fewer Amazon packages. Its CEO says it's about 'taking control of our destiny.
- Jan -30 - UPS Stock Eyes Worst Day Ever After Earnings, Amazon Deal
- Jan -30 - UPS Losing 50% of AMZN Business, MA All-Time High, NOW Sells
- Jan -30 - Amazon lays off dozens of corporate workers in latest round of job cuts
- Jan -30 - UPS to cut Amazon business by more than 50%. Its stock is tumbling.
- Jan -30 - Warren Buffett Has $74 Billion of Berkshire Hathaway's $301 Billion Portfolio Tied Up in 2 Leading Artificial Intelligence (AI) Stocks
- Jan -30 - Got $5,000? 3 Tech Stocks to Buy and Hold for the Long Term.
- Jan -29 - Amazon to Eliminate ‘Small Number' of Roles in Communications Department
- Jan -29 - Proposed Class Action Lawsuit Alleges Amazon Sold Consumers' Geolocation Data
- Jan -29 - Amazon's latest job cuts impact corporate communications and sustainability employees
- Jan -29 - Amazon lays off 'small number' of employees in communications and sustainability units
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Online Stores
Expected Growth : 8.5 %
What the company do ?
Amazon.com, Inc.'s online stores offer a wide range of products, including books, electronics, clothing, and more, with options for fast and reliable shipping.
Why we expect these perspectives ?
Amazon's online stores growth is driven by increasing e-commerce adoption, Prime membership expansion, and a strong brand reputation. Additionally, the company's focus on improving customer experience, expanding product offerings, and investing in emerging markets such as India and Southeast Asia contribute to its 8.5% growth.
Segment n°2 -> Third-party Seller Services
Expected Growth : 9.2 %
What the company do ?
Third-party Seller Services from Amazon.com, Inc. allow external vendors to sell products on Amazon, leveraging its vast customer base and logistics network.
Why we expect these perspectives ?
Amazon's Third-party Seller Services growth is driven by increasing adoption of e-commerce, rising demand for digital marketplaces, and Amazon's expanding global footprint. Additionally, the company's investments in artificial intelligence, machine learning, and fulfillment capabilities enhance the seller experience, attracting more third-party sellers and fueling growth.
Segment n°3 -> Amazon Web Services
Expected Growth : 10.5 %
What the company do ?
Amazon Web Services (AWS) is a cloud computing platform offering a broad set of global compute, storage, database, analytics, application, and deployment services.
Why we expect these perspectives ?
AWS's 10.5% growth driven by increasing adoption of cloud computing, expansion into new industries, and growing demand for digital transformation. Strong sales momentum in core services like compute, storage, and database, as well as emerging services like machine learning, analytics, and IoT. Additionally, strategic partnerships, geographic expansion, and continued innovation in areas like serverless computing and edge computing contribute to growth.
Segment n°4 -> Advertising Services
Expected Growth : 11.0 %
What the company do ?
Amazon's Advertising Services enable businesses to reach their target audience through sponsored ads and sponsored products on Amazon.com, improving brand visibility and driving sales.
Why we expect these perspectives ?
Amazon's advertising services growth is driven by increasing e-commerce adoption, rising demand for targeted advertising, and expanding product offerings. The company's vast customer data and purchase history enable effective ad targeting, attracting more advertisers. Additionally, Amazon's growing presence in new markets, such as voice assistants and streaming, provides further growth opportunities.
Segment n°5 -> Subscription Services
Expected Growth : 8.8 %
What the company do ?
Amazon's Subscription Services offer customers access to a range of benefits, including free two-day shipping, streaming of music and video content, and photo storage, for a monthly or annual fee.
Why we expect these perspectives ?
Amazon's subscription services growth is driven by increasing adoption of Prime membership, expansion of Alexa-enabled devices, and rising demand for cloud-based services such as Amazon Web Services (AWS) and Amazon Chime. Additionally, the growth of online shopping and digital content consumption, particularly in emerging markets, contributes to the 8.8% growth rate.
Segment n°6 -> Physical Stores
Expected Growth : 7.2 %
What the company do ?
Physical Stores from Amazon.com, Inc. refer to the company's brick-and-mortar retail spaces, such as Amazon 4-star, Amazon Go, and Whole Foods Market, offering customers a tactile shopping experience.
Why we expect these perspectives ?
Amazon's physical stores growth is driven by its expanding grocery business, particularly Whole Foods Market, and the increasing adoption of its cashierless convenience stores, Amazon Go. Additionally, the company's strategic location of stores near universities and in urban areas, as well as its focus on enhancing the in-store experience, contribute to the 7.2% growth.
Segment n°7 -> Other
Expected Growth : 8.0 %
What the company do ?
Other from Amazon.com, Inc. refers to non-operating items, including interest income, interest expense, and other miscellaneous income and expenses.
Why we expect these perspectives ?
Amazon's 'Other' segment, growing at 8.0%, is driven by increasing adoption of Alexa-enabled devices, expansion of Amazon Fresh and Prime Air, and growth in Amazon Web Services (AWS) ancillary services, such as database, analytics, and machine learning offerings.
Amazon.Com, Inc. Products
| Product Range | What is it ? |
|---|---|
| Online Retail | Amazon.com is an e-commerce platform that allows customers to browse and purchase a wide variety of products, including books, electronics, clothing, and more. |
| Amazon Web Services (AWS) | AWS is a cloud computing platform that provides a range of services, including computing power, storage, databases, analytics, machine learning, and more. |
| Alexa and Echo Devices | Alexa is a virtual assistant AI technology that powers Echo smart speakers and other devices, allowing users to control their smart home, play music, and access information with voice commands. |
| Prime Video | Prime Video is a streaming service that offers a vast library of movies, TV shows, and original content, including exclusive Amazon Original series and movies. |
| Amazon Fresh | Amazon Fresh is a grocery delivery service that allows customers to order fresh produce, meat, dairy products, and other essentials, with same-day or next-day delivery. |
| Audible | Audible is an audiobook platform that offers a vast library of audiobooks, podcasts, and original content, with features like Whispersync for seamless switching between devices. |
| Amazon Advertising | Amazon Advertising is a platform that allows businesses to advertise their products and services on Amazon.com, including sponsored products, sponsored brands, and sponsored displays. |
Amazon.com, Inc.'s Porter Forces
Threat Of Substitutes
Amazon's business model is highly diversified, making it difficult for substitutes to emerge. The company's strong brand recognition and customer loyalty also reduce the threat of substitutes.
Bargaining Power Of Customers
Amazon's customers have some bargaining power due to the availability of alternative e-commerce platforms. However, the company's strong brand recognition and customer loyalty mitigate this power to some extent.
Bargaining Power Of Suppliers
Amazon's suppliers have limited bargaining power due to the company's massive scale and negotiating power. The company's ability to source products directly from manufacturers also reduces supplier power.
Threat Of New Entrants
The threat of new entrants is low due to the significant barriers to entry in the e-commerce industry. Amazon's strong brand recognition, large customer base, and established logistics network make it difficult for new entrants to compete.
Intensity Of Rivalry
The e-commerce industry is highly competitive, with many established players competing for market share. Amazon faces intense rivalry from companies like eBay, Walmart, and Google, which increases the intensity of rivalry.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 43.36% |
| Debt Cost | 3.95% |
| Equity Weight | 56.64% |
| Equity Cost | 9.72% |
| WACC | 7.22% |
| Leverage | 76.56% |
Amazon.com, Inc. : Quality Control
Amazon.com, Inc. passed 6 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| ORLY | O'Reilly Automotive, Inc., together with its subsidiaries, operates as a retailer and supplier of automotive aftermarket parts, tools, supplies, equipment, and accessories in the United States. The company provides new … |
| EBAY | eBay Inc. operates marketplace platforms that connect buyers and sellers in the United States and internationally. The company's Marketplace platform includes its online marketplace at ebay.com and the eBay suite … |
| AZO | AutoZone, Inc. retails and distributes automotive replacement parts and accessories. The company offers various products for cars, sport utility vehicles, vans, and light trucks, including new and remanufactured automotive hard … |
| BBW | Build-A-Bear Workshop, Inc. operates as a multi-channel retailer of plush animals and related products. The company operates through three segments: Direct-to-Consumer, Commercial, and International Franchising. Its merchandise comprises various styles … |
| TSCO | Tractor Supply Company operates as a rural lifestyle retailer in the United States. The company offers a selection of merchandise, including equine, livestock, pet, and small animal products necessary for … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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Build-A-Bear Workshop
A-Score
1-Year Total Return ->
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O'Reilly Automotive
A-Score
1-Year Total Return ->
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AutoZone
A-Score
1-Year Total Return ->
4
eBay
A-Score
1-Year Total Return ->
5
Tractor Supply
A-Score
1-Year Total Return ->
6
