Bezos Offloads $5.7 Billion in Amazon (AMZN) Stock Ahead of Q2 Earnings
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AI Expenses vs. Revenue
The timing comes as Amazon stock has climbed 38% from its April low. Despite the gains, the company is facing questions from investors about whether its heavy artificial intelligence spending will begin to boost profitability. Analysts expect second-quarter earnings of $1.32 per share on $162 billion in revenue, reflecting 4% and 9% growth from last year. That pace trails other top tech names, which are averaging 15% earnings growth and 12% revenue expansion.
Amazon has committed $104 billion to capital expenditures this year, including $30 billion for new data centers in Pennsylvania and North Carolina.
Bezos' History of Share Sales
Bezos remains the company's largest individual shareholder, still owning around 884 million shares or more than 8% of the company. His Amazon stake is the foundation of his $252.3 billion net worth, placing him third on the Bloomberg Billionaires Index.
Since 2002, Bezos has sold over $50 billion in Amazon stock. In 2024 alone, he sold 75 million shares for $13.6 billion. He also donated about $190 million in shares to nonprofits this year. His only recorded purchase was one share for $114.77 in 2022. Market reaction to the latest sales has been limited, with the stock holding steady during the selling period. Investors appear to view the move as part of Bezos' long-running strategy to diversify his holdings rather than a shift in outlook on Amazon itself.
Is AMZN Stock a Good Buy?
On the Street, Amazon boasts a Strong Buy consensus rating. The average AMZN stock price target is $258.27, implying an 11.59% upside.
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