About Amazon.com, Inc.
Amazon.com, Inc. (AMZN) is a Consumer Cyclical company in the Retail-Catalog & Mail-Order Houses industry with a market capitalisation of $2.8T. The stock trades at 20.80x trailing earnings.
- Sector
- Consumer Cyclical
- Industry
- Retail-Catalog & Mail-Order Houses
- Market cap
- $2.8T
- P/E ratio
- 20.80
- EPS (TTM)
- $7.17
- Revenue (TTM)
- $716.9B
- Free cash flow
- -$11.6B
- Profit margin
- 10.8%
- Shares outstanding
- 10.8B
Financial health: Strong8/10
7 strengths, 1 concern. Weakest points: free cash flow.
- Debt to equity: 0.17 (Strong, benchmark < 0.5) — Debt of 0.17x equity is conservative against the 0.5x benchmark. It has improved over the last 4 years.
- Net debt vs cash flow: 0.0y (Strong, benchmark < 4 years) — Holds more cash than debt ($18.4B net cash).
- Current ratio: 1.05 (Watch, benchmark > 1.5) — Short-term assets cover 1.05x short-term liabilities, against Graham's 1.5x floor. It has improved over the last 4 years.
- Return on equity: 30.6% (Strong, benchmark > 15%) — Earns 30.6% on shareholder equity, comfortably past the > 15% mark.
- Gross margin: 50.8% (Strong, benchmark > 40%) — Keeps 50.8% of revenue after the direct cost of sales, comfortably past the > 40% mark.
- Net margin: 17.4% (Strong, benchmark > 10%) — Turns 17.4% of revenue into profit, comfortably past the > 10% mark.
- Free cash flow: -$11.6B (Concern, benchmark positive) — Burned $11.6B of cash after capital spending, so operations did not fund themselves. It has deteriorated over the last 4 years.
- Revenue growth: 19.6% (Strong, benchmark > 10%) — Revenue changed 19.6% year on year, comfortably past the > 10% mark.
- Earnings growth: 242.3% (Strong, benchmark > 10%) — Earnings changed 242.3% year on year, comfortably past the > 10% mark.
- PEG ratio: 1.48 (Watch, benchmark < 1) — At 1.48, the price looks fair relative to expected growth — Lynch treated 1.0 as fair value.