AMZN Amazon.com, Inc.
$249.72
▼ 2.0%Updated Oct 16, 2:25 PM ET
Report Card
AMZN at a glance — five pillars scored 0–100 from real filed financials.
How the 0–100 rating is calculatedOverall: Favorable · 64/100. A wider, greener shape means more pillars look healthy. Dividends scores 0 when a company pays none — that is a choice, not a flaw.
Price — Past Year
▲ Up 15.0% in the year to Jul 6, 2026
Key Metrics
Market Cap
$2.61T
P/E
29.87x
Forward P/E (est.)
21.89x
ROE
23.3%
Revenue Growth
14.2%
EPS Growth
36.5%
Profit Margin
12.2%
FCF Yield
2.7%
Debt / Equity
0.22x
ROIC
9.0%
Interest Coverage
25.13x
Current Ratio
1.03x
Dividend Yield
0.0%
Implied Growth (rev. DCF)
8.7%
Rating Score
64/100
Business Overview
Amazon pairs a dominant e-commerce and logistics network with two high-margin profit engines — AWS and advertising. After a heavy investment cycle, margins are inflecting upward as retail efficiency improves and the higher-margin segments mix up total profitability.
Economic Moat
Evidence of durable competitive advantage in the filed financials (10 years of history).
Profit margins and economic moats, explainedSome durable-advantage evidence, but not across the board — dig into which ingredient is weak and whether it's cyclical or structural.
9.4% average over the last 3 years
±2.9 pts around 5.8% across 10 years
grew in 9 of the last 9 year-over-year periods
positive in 8 of 10 years
9.0% latest fiscal year
A moat can't be proven by numbers alone — this scores the evidence a durable advantage leaves behind (pricing power, consistency, returns on capital), computed the same way for every stock. Pair it with the business overview before concluding anything.
Trade Setup & Technical Analysis
Institutional-style technical read — sample, educational only
Sideways — price ($249.72) sits between its 50-day ($255.42) and 200-day ($232.98) averages.
Setup type
Range / mean-reversion
Holding time
1–6 weeks
Risk level
Medium
Risk / reward
1 : 0.6
Trade levels
Entry zone
$236.57 – $249.72
Stop loss
$221.17
Target 1
$256.38
Target 2
$280.42
Target 3
$293.57
Position sizing: Scale in; risk ≤ 1% of capital, half-size to start.
Technical analysis
RSI(14) is neutral (51); the MACD histogram is positive (upward momentum). Sideways — price ($249.72) sits between its 50-day ($255.42) and 200-day ($232.98) averages. ATR(14) is $8.77 (~3.5% of price), which sets the stop distance. Recent support sits near $225.55 and resistance near $256.38; the 52-week range is $196.00–$278.56.
Fundamental analysis
Revenue is growing at 14.2%, net margin near 12.2%, ROE roughly 23.3%; shares trade at 30x earnings. Quality score: 64/100.
Options flow
Live options-flow data needs a paid feed, so it isn't shown. For realized volatility, ATR of $8.77 (~3.5%/day) is the range to size stops and any option strikes around.
Volume analysis
The latest session traded 0.8× the 20-day average volume — roughly in line with normal activity.
Catalysts
The next quarterly earnings report is the main near-term catalyst. Technically, watch for a break and hold above $256.38 or a loss of $225.55.
Bullish scenario
AWS and advertising are high-margin businesses growing faster than retail.
Bearish scenario
Retail margins remain thin and capital-intensive.
Invalidation
A daily close below $221.17 invalidates this setup read.
Probability-based scenario using sample data — not a recommendation or a guarantee of profit. Prioritize capital preservation, use stops, and size positions for risk. Past performance does not predict future results.
Technical Analysis (Educational)
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what AMZN's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. AMZN trades near $249.72, around its 50-day average ($255.42) and 200-day average ($232.98). Price tangled in its moving averages means there is no clear trend — the stock is ranging.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 51 it is in neutral territory — neither stretched nor washed out.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.
Volatility — ATR. Average True Range is the typical daily move. AMZN's is $8.77 (~3.5% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. In the month to Jul 6, 2026, AMZN found buyers near $225.55 (support) and sellers near $256.38 (resistance); its 52-week range then was $196.00–$278.56. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 0.8× the 20-day average — about normal. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. The indicators were last computed on Jul 6, 2026; the price is current.
Revenue Growth
4Y CAGR
11.1%
Revenue grew from $135.99B in 2016 to $716.92B in 2025, a 20.3% CAGR. The most recent year grew about 14.2% year over year, a healthy pace pointing to durable demand.
Profitability
Gross Margin
—
Operating Margin
11.2%
Net Margin
10.8%
ROE
23.3%
Gross margin runs near 50.6% with operating margin around 11.5% and net margin near 12.2%. Return on equity of roughly 23.3% indicates moderate capital efficiency, and the margin profile has trended steady over the period shown.
Debt Analysis
Total Debt
$133.00B
Net Debt
$54.78B
Net Debt / EBITDA
0.68x
Debt / Equity
0.22x
Interest-bearing debt is about 3.0% of market capitalization and the debt-to-equity ratio is roughly 0.22x. Leverage is low, leaving the balance sheet well within comfortable limits.
Cash Flow Analysis
Operating CF
$139.51B
Free Cash Flow
$7.70B
FCF Margin
1.1%
Operating cash flow comfortably exceeds reported net income, and free cash flow yield is around 2.7%. Cash generation is positive but partly absorbed by reinvestment and capital expenditure.
Valuation Analysis
P/E
29.87x
P/S
3.73x
P/B
6.09x
EV / EBITDA
20x
Shares trade at roughly 30x trailing earnings (33x forward), 3.7x sales, and 20x EV/EBITDA. That is a full but defensible multiple for a quality franchise. Our internal rating is Favorable.
DCF Fair Value (Educational)
A two-stage discounted cash flow on real SEC-filed free cash flow — the intrinsic-value anchor professional analysts triangulate from.
How this DCF estimate is calculatedDCF fair value / share
$21.63
Current price
$249.72
Starting FCF (latest 10-K)
$7.70B
Growth, years 1–5
14.2%
Fade to terminal, years 6–10
2.5%
Discount rate
9.0%
Cash flows grow at the stage-1 rate (trailing revenue growth, capped at 20%) for five years, fade to 2.5% by year 10, and continue at that rate forever (Gordon terminal value), all discounted at 9.0%. Small changes in assumptions move the result a lot — treat this as one reference point, not a target price. Educational only, not investment advice.
Metrics vs. Sector Range
Where AMZN sits versus the Consumer Discretionary companies we cover.
Bands show the middle half (25th–75th percentile) of the 85 Consumer Discretionary companies in our coverage that have fundamentals data — the peer-relative anchor professional comps analysis uses. Context only — not investment advice.
Sector Peer Comparison
How AMZN stacks up against its Consumer Discretionary peers — valuation, profitability, and growth versus the sector median.
Among the 85 rated Consumer Discretionary companies we cover, AMZN ranks #12 by our overall rating. It trades at a premium versus the sector on earnings (29.9x P/E vs. 24.6x median) with a lower return on equity (23.3% vs. 26.2%) and faster revenue growth (14.2% vs. 6.8%).
P/E vs sector
29.9x
median 24.6x
ROE vs sector
23.3%
median 26.2%
Growth vs sector
14.2%
median 6.8%
Sector rank
#12
of 85 rated
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Consumer Discretionary companies by sub-industry and size, preferring ones with full data. Sector medians and rank use the 85 rated companies among the 158 Consumer Discretionary stocks we cover. Educational, not a recommendation.
5-Year Projection Model
Project revenue → earnings → price. Edit the assumptions to build your own case.
What drives this projection, and its limits2030 scenario price range (Base Case)
$261.46 – $435.77
vs. $249.72 today · implied CAGR 1% – 12%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $817.29B | $931.71B | $1.06T | $1.21T | $1.38T |
| Net income | $89.90B | $102.49B | $116.84B | $133.19B | $151.84B |
| EPS | $8.60 | $9.80 | $11.18 | $12.74 | $14.53 |
| Share price (low) | $154.80 | $176.48 | $201.18 | $229.35 | $261.46 |
| Share price (high) | $258.01 | $294.13 | $335.31 | $382.25 | $435.77 |
| CAGR (low–high) | -38% / 3% | -16% / 9% | -7% / 10% | -2% / 11% | 1% / 12% |
Educational scenario model, not a forecast or investment advice. It starts from the latest annual revenue in SEC filings. By default, growth is trailing revenue growth (held between 3% and 45% a year), the net margin is the latest one (held between 3% and 50%, so a loss-making company is modeled with a small profit), and the Base case P/E runs from 60% to 100% of today's. Carrying recent growth forward five years can miss badly in either direction. Outputs are only as good as the assumptions.
Bull Case
- AWS and advertising are high-margin businesses growing faster than retail.
- Operating leverage is emerging after years of logistics investment.
- Unmatched fulfillment scale and Prime ecosystem lock-in.
Bear Case
- Retail margins remain thin and capital-intensive.
- AWS growth faces stiff competition from Azure and Google.
- Heavy AI/infrastructure capex tempers near-term free cash flow.
Key Risks
- Cloud competition and pricing pressure.
- Regulatory and labor scrutiny.
- Consumer-spending cyclicality.
Final Investment Thesis
Amazon is a margin-inflection story powered by AWS and ads; suited to long-term investors focused on the profitability inflection rather than headline revenue growth.
Analyst Ratings
What 74 Wall Street analysts covering AMZN recommend (September 2026). Consensus is a useful sanity check — not a substitute for your own homework.
Latest SEC Filings
AMZN's most recent filings, straight from SEC EDGAR. Annual and quarterly reports are the deep dives; 8-Ks flag material events the moment they happen. How to read a 10-K
In the Idea Lab
AMZN — frequently asked questions
Is AMZN a good stock to buy?
We don't give buy or sell advice. Our model rates Amazon.com, Inc. Favorable (64/100) based on its growth, profitability, financial health, and valuation — use that as a research starting point and make your own decision.
What is AMZN's rating on The Stocks School?
Amazon.com, Inc. currently scores 64/100 (Favorable) on our transparent model, which weighs real fundamentals: growth, margins, returns on capital, balance-sheet strength, and valuation.
How our ratings work →Where does AMZN's data come from?
Live price data plus real fundamentals and 5-year financials pulled directly from Amazon.com, Inc.'s SEC filings — refreshed automatically, not hand-entered.
How is the 5-year projection for AMZN calculated?
It's a scenario model. It starts from the latest annual revenue and net margin in SEC filings, grows revenue at an assumed rate (trailing revenue growth by default), and applies a P/E range built around today's multiple to show the resulting share-price range. When a stock has no growth or P/E data, the starting values are placeholders. It's a tool for thinking, not a prediction.
Is this AMZN analysis financial advice?
No. Everything on this page is educational research, not financial advice or a recommendation to buy or sell AMZN. Always do your own research and consider a licensed professional.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.