Amazon’s Douglas J. Herrington sells $532,925 in stock

Published 05/03/2025, 22:42
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Douglas J. Herrington, the CEO of Worldwide Amazon Stores, has sold a significant portion of his holdings in Amazon.com Inc. (NASDAQ:AMZN), a prominent player in the Broadline Retail industry with a market capitalization of $2.2 trillion. According to a recent SEC filing, Herrington sold 2,500 shares of common stock at a price of $213.17 per share, totaling approximately $532,925. The stock has seen a 17% return over the past year, despite recent headwinds showing a -7% YTD performance. Following the transaction, Herrington’s direct ownership stands at 511,974 shares. This sale was conducted under a Rule 10b5-1 trading plan, which was adopted by Herrington in November 2024. Additionally, Herrington holds an indirect ownership of shares through the Amazon.com 401(k) plan account. According to InvestingPro analysis, Amazon currently appears slightly overvalued based on its Fair Value calculations, though the company maintains strong fundamentals with a healthy EBITDA of $120.5 billion and robust revenue growth of 11% over the last twelve months. For deeper insights into Amazon’s valuation and 13 additional exclusive ProTips, explore the comprehensive Pro Research Report available on InvestingPro.

In other recent news, Amazon.com has established a new group focused on agentic artificial intelligence under the leadership of AWS executive Swami Sivasubramanian. This initiative is part of Amazon’s broader strategy to enhance its AI capabilities, with expectations of it becoming a significant business for AWS. Concurrently, Amazon has also launched revamped Alexa devices, reportedly powered by AI models from Anthropic, a startup in which Amazon has invested $8 billion. This move underscores Amazon’s commitment to integrating advanced AI technologies into its consumer products. Additionally, Amazon has entered a strategic framework agreement with GE Vernova to support AWS’s data center expansion with sustainable energy solutions. This partnership aims to meet growing energy demands while enhancing grid security and reducing carbon emissions. In related developments, Amazon CEO Andy Jassy discussed the increasing demand for AI chips and the potential to monetize any additional capacity. He emphasized the importance of partnerships with companies like Nvidia (NASDAQ:NVDA), while noting a shift towards more efficient AI chip models. These developments reflect Amazon’s ongoing efforts to innovate and expand its technological infrastructure.

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