AMAZON.COM INC (AMZN) Stock Fundamental Analysis
USA - NASDAQ:AMZN - US0231351067 - Common Stock
226.03 USD
+3.34 (+1.5%)
We assign a fundamental rating of 6 out of 10 to AMZN. AMZN was compared to 30 industry peers in the Broadline Retail industry. AMZN has an excellent profitability rating, but there are some minor concerns on its financial health. AMZN is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
AMZN had positive earnings in the past year.
In the past year AMZN had a positive cash flow from operations.
Of the past 5 years AMZN 4 years were profitable.
AMZN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AMZN has a Return On Assets of 10.51%. This is amongst the best in the industry. AMZN outperforms 90.00% of its industry peers.
The Return On Equity of AMZN (20.69%) is better than 83.33% of its industry peers.
AMZN's Return On Invested Capital of 11.98% is fine compared to the rest of the industry. AMZN outperforms 73.33% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AMZN is in line with the industry average of 10.17%.
The 3 year average ROIC (8.31%) for AMZN is below the current ROIC(11.98%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.51% | ||
| ROE | 20.69% | ||
| ROIC | 11.98% |
ROA(3y)4.89%
ROA(5y)5.85%
ROE(3y)11.31%
ROE(5y)16.18%
ROIC(3y)8.31%
ROIC(5y)8.44%
1.3 Margins
AMZN's Profit Margin of 11.06% is amongst the best of the industry. AMZN outperforms 86.67% of its industry peers.
AMZN's Profit Margin has improved in the last couple of years.
AMZN's Operating Margin of 11.02% is fine compared to the rest of the industry. AMZN outperforms 80.00% of its industry peers.
In the last couple of years the Operating Margin of AMZN has grown nicely.
The Gross Margin of AMZN (50.05%) is better than 70.00% of its industry peers.
In the last couple of years the Gross Margin of AMZN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.02% | ||
| PM (TTM) | 11.06% | ||
| GM | 50.05% |
OM growth 3Y26.58%
OM growth 5Y15.69%
PM growth 3Y9.36%
PM growth 5Y17.59%
GM growth 3Y5.14%
GM growth 5Y3.57%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AMZN is creating some value.
Compared to 1 year ago, AMZN has more shares outstanding
AMZN has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, AMZN has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 5.72 indicates that AMZN is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.72, AMZN belongs to the top of the industry, outperforming 86.67% of the companies in the same industry.
AMZN has a debt to FCF ratio of 4.81. This is a neutral value as AMZN would need 4.81 years to pay back of all of its debts.
AMZN has a Debt to FCF ratio (4.81) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.14 indicates that AMZN is not too dependend on debt financing.
AMZN's Debt to Equity ratio of 0.14 is fine compared to the rest of the industry. AMZN outperforms 73.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 4.81 | ||
| Altman-Z | 5.72 |
ROIC/WACC1.38
WACC8.67%
2.3 Liquidity
A Current Ratio of 1.01 indicates that AMZN should not have too much problems paying its short term obligations.
With a Current ratio value of 1.01, AMZN is not doing good in the industry: 83.33% of the companies in the same industry are doing better.
AMZN has a Quick Ratio of 1.01. This is a bad value and indicates that AMZN is not financially healthy enough and could expect problems in meeting its short term obligations.
AMZN has a worse Quick ratio (0.80) than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 51.61% over the past year.
AMZN shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 36.89% yearly.
The Revenue has grown by 11.48% in the past year. This is quite good.
The Revenue has been growing by 17.86% on average over the past years. This is quite good.
EPS 1Y (TTM)51.61%
EPS 3Y37.19%
EPS 5Y36.89%
EPS Q2Q%36.36%
Revenue 1Y (TTM)11.48%
Revenue growth 3Y10.74%
Revenue growth 5Y17.86%
Sales Q2Q%13.4%
3.2 Future
Based on estimates for the next years, AMZN will show a very strong growth in Earnings Per Share. The EPS will grow by 20.45% on average per year.
The Revenue is expected to grow by 11.04% on average over the next years. This is quite good.
EPS Next Y29.2%
EPS Next 2Y20.12%
EPS Next 3Y20.94%
EPS Next 5Y20.45%
Revenue Next Year11.74%
Revenue Next 2Y11.33%
Revenue Next 3Y11.2%
Revenue Next 5Y11.04%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 31.93, AMZN can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as AMZN.
When comparing the Price/Earnings ratio of AMZN to the average of the S&P500 Index (25.47), we can say AMZN is valued slightly more expensively.
AMZN is valuated quite expensively with a Price/Forward Earnings ratio of 28.33.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AMZN is on the same level as its industry peers.
AMZN is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 35.42, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.93 | ||
| Fwd PE | 28.33 |
4.2 Price Multiples
AMZN's Enterprise Value to EBITDA ratio is in line with the industry average.
66.67% of the companies in the same industry are cheaper than AMZN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 228.28 | ||
| EV/EBITDA | 16.68 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
AMZN has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as AMZN's earnings are expected to grow with 20.94% in the coming years.
PEG (NY)1.09
PEG (5Y)0.87
EPS Next 2Y20.12%
EPS Next 3Y20.94%
5. Dividend
5.1 Amount
No dividends for AMZN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:AMZN (11/20/2025, 9:54:09 AM)
226.03
+3.34 (+1.5%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners66.15%
Inst Owner Change0.04%
Ins Owners8.29%
Ins Owner Change-3%
Market Cap2.41T
Revenue(TTM)691.33B
Net Income(TTM)76.48B
Analysts85.13
Price Target272.31 (20.48%)
Short Float %0.72%
Short Ratio1.42
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)22.74%
Min EPS beat(2)21.56%
Max EPS beat(2)23.92%
EPS beat(4)4
Avg EPS beat(4)20.49%
Min EPS beat(4)14.44%
Max EPS beat(4)23.92%
EPS beat(8)8
Avg EPS beat(8)20.32%
EPS beat(12)12
Avg EPS beat(12)32.13%
EPS beat(16)14
Avg EPS beat(16)26.96%
Revenue beat(2)1
Avg Revenue beat(2)0.4%
Min Revenue beat(2)-0.63%
Max Revenue beat(2)1.44%
Revenue beat(4)1
Avg Revenue beat(4)-0.61%
Min Revenue beat(4)-1.7%
Max Revenue beat(4)1.44%
Revenue beat(8)2
Avg Revenue beat(8)-0.86%
Revenue beat(12)5
Avg Revenue beat(12)-0.55%
Revenue beat(16)5
Avg Revenue beat(16)-0.81%
PT rev (1m)1.11%
PT rev (3m)2.63%
EPS NQ rev (1m)4.74%
EPS NQ rev (3m)5.28%
EPS NY rev (1m)4.77%
EPS NY rev (3m)13.02%
Revenue NQ rev (1m)1.56%
Revenue NQ rev (3m)1.52%
Revenue NY rev (1m)0.5%
Revenue NY rev (3m)2.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.93 | ||
| Fwd PE | 28.33 | ||
| P/S | 3.49 | ||
| P/FCF | 228.28 | ||
| P/OCF | 18.44 | ||
| P/B | 6.52 | ||
| P/tB | 6.96 | ||
| EV/EBITDA | 16.68 |
EPS(TTM)7.08
EY3.13%
EPS(NY)7.98
Fwd EY3.53%
FCF(TTM)0.99
FCFY0.44%
OCF(TTM)12.25
OCFY5.42%
SpS64.82
BVpS34.66
TBVpS32.48
PEG (NY)1.09
PEG (5Y)0.87
Graham Number74.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.51% | ||
| ROE | 20.69% | ||
| ROCE | 14.3% | ||
| ROIC | 11.98% | ||
| ROICexc | 14.56% | ||
| ROICexgc | 15.37% | ||
| OM | 11.02% | ||
| PM (TTM) | 11.06% | ||
| GM | 50.05% | ||
| FCFM | 1.53% |
ROA(3y)4.89%
ROA(5y)5.85%
ROE(3y)11.31%
ROE(5y)16.18%
ROIC(3y)8.31%
ROIC(5y)8.44%
ROICexc(3y)10.81%
ROICexc(5y)12.21%
ROICexgc(3y)12.01%
ROICexgc(5y)13.98%
ROCE(3y)9.97%
ROCE(5y)10.12%
ROICexgc growth 3Y12.76%
ROICexgc growth 5Y-0.85%
ROICexc growth 3Y13.59%
ROICexc growth 5Y2.43%
OM growth 3Y26.58%
OM growth 5Y15.69%
PM growth 3Y9.36%
PM growth 5Y17.59%
GM growth 3Y5.14%
GM growth 5Y3.57%
F-Score6
Asset Turnover0.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 4.81 | ||
| Debt/EBITDA | 0.37 | ||
| Cap/Depr | 194.02% | ||
| Cap/Sales | 17.38% | ||
| Interest Coverage | 35.33 | ||
| Cash Conversion | 94.62% | ||
| Profit Quality | 13.81% | ||
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z | 5.72 |
F-Score6
WACC8.67%
ROIC/WACC1.38
Cap/Depr(3y)139.13%
Cap/Depr(5y)150.87%
Cap/Sales(3y)11.52%
Cap/Sales(5y)11.59%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)51.61%
EPS 3Y37.19%
EPS 5Y36.89%
EPS Q2Q%36.36%
EPS Next Y29.2%
EPS Next 2Y20.12%
EPS Next 3Y20.94%
EPS Next 5Y20.45%
Revenue 1Y (TTM)11.48%
Revenue growth 3Y10.74%
Revenue growth 5Y17.86%
Sales Q2Q%13.4%
Revenue Next Year11.74%
Revenue Next 2Y11.33%
Revenue Next 3Y11.2%
Revenue Next 5Y11.04%
EBIT growth 1Y25.75%
EBIT growth 3Y40.17%
EBIT growth 5Y36.35%
EBIT Next Year150.72%
EBIT Next 3Y52.77%
EBIT Next 5Y39.32%
FCF growth 1Y-37.59%
FCF growth 3YN/A
FCF growth 5Y8.71%
OCF growth 1Y82.39%
OCF growth 3Y35.74%
OCF growth 5Y24.65%
AMAZON.COM INC / AMZN FAQ
Can you provide the ChartMill fundamental rating for AMAZON.COM INC?
ChartMill assigns a fundamental rating of 6 / 10 to AMZN.
Can you provide the valuation status for AMAZON.COM INC?
ChartMill assigns a valuation rating of 3 / 10 to AMAZON.COM INC (AMZN). This can be considered as Overvalued.
What is the profitability of AMZN stock?
AMAZON.COM INC (AMZN) has a profitability rating of 8 / 10.
What are the PE and PB ratios of AMAZON.COM INC (AMZN) stock?
The Price/Earnings (PE) ratio for AMAZON.COM INC (AMZN) is 31.93 and the Price/Book (PB) ratio is 6.52.