AMAZON.COM INC - CDR (AMZN.CA) Stock Fundamental Analysis
TSX:AMZN - Toronto Stock Exchange - CA02315E1051 - Currency: CAD
We assign a fundamental rating of 6 out of 10 to AMZN. AMZN was compared to 3 industry peers in the Broadline Retail industry. While AMZN belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. AMZN is evaluated to be cheap and growing strongly. This does not happen too often! These ratings would make AMZN suitable for value and growth investing!
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.
AMZN had positive earnings in 4 of the past 5 years.
Each year in the past 5 years AMZN had a positive operating cash flow.
1.2 Ratios
AMZN has a Return On Assets of 9.48%. This is in the better half of the industry: AMZN outperforms 75.00% of its industry peers.
Looking at the Return On Equity, with a value of 20.72%, AMZN is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
With a decent Return On Invested Capital value of 12.89%, AMZN is doing good in the industry, outperforming 75.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for AMZN is below the industry average of 11.32%.
The last Return On Invested Capital (12.89%) for AMZN is above the 3 year average (8.32%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.48% | ||
| ROE | 20.72% | ||
| ROIC | 12.89% |
ROA(3y)4.89%
ROA(5y)5.85%
ROE(3y)11.31%
ROE(5y)16.18%
ROIC(3y)8.32%
ROIC(5y)8.45%
1.3 Margins
AMZN has a Profit Margin of 9.29%. This is in the better half of the industry: AMZN outperforms 75.00% of its industry peers.
In the last couple of years the Profit Margin of AMZN has grown nicely.
Looking at the Operating Margin, with a value of 10.75%, AMZN is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
In the last couple of years the Operating Margin of AMZN has grown nicely.
AMZN has a better Gross Margin (48.85%) than 100.00% of its industry peers.
In the last couple of years the Gross Margin of AMZN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.75% | ||
| PM (TTM) | 9.29% | ||
| GM | 48.85% |
OM growth 3Y26.63%
OM growth 5Y15.71%
PM growth 3Y9.36%
PM growth 5Y17.59%
GM growth 3Y5.14%
GM growth 5Y3.57%
2. Health
2.1 Basic Checks
AMZN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for AMZN has been increased compared to 1 year ago.
The number of shares outstanding for AMZN has been increased compared to 5 years ago.
The debt/assets ratio for AMZN has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.13 indicates that AMZN is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of AMZN (2.13) is better than 75.00% of its industry peers.
The Debt to FCF ratio of AMZN is 2.31, which is a good value as it means it would take AMZN, 2.31 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.31, AMZN belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
A Debt/Equity ratio of 0.24 indicates that AMZN is not too dependend on debt financing.
The Debt to Equity ratio of AMZN (0.24) is better than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 2.31 | ||
| Altman-Z | 2.13 |
ROIC/WACC1.33
WACC9.69%
2.3 Liquidity
A Current Ratio of 1.06 indicates that AMZN should not have too much problems paying its short term obligations.
AMZN has a worse Current ratio (1.06) than 75.00% of its industry peers.
A Quick Ratio of 0.87 indicates that AMZN may have some problems paying its short term obligations.
AMZN has a Quick ratio of 0.87. This is comparable to the rest of the industry: AMZN outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 90.69% over the past year.
The Earnings Per Share has been growing by 36.89% on average over the past years. This is a very strong growth
AMZN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.99%.
The Revenue has been growing by 17.86% on average over the past years. This is quite good.
EPS 1Y (TTM)90.69%
EPS 3Y37.19%
EPS 5Y36.89%
EPS Q2Q%86%
Revenue 1Y (TTM)10.99%
Revenue growth 3Y10.74%
Revenue growth 5Y17.86%
Sales Q2Q%10.49%
3.2 Future
The Earnings Per Share is expected to grow by 19.78% on average over the next years. This is quite good.
AMZN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.12% yearly.
EPS Next Y16.6%
EPS Next 2Y18.35%
EPS Next 3Y20.6%
EPS Next 5Y19.78%
Revenue Next Year9.54%
Revenue Next 2Y9.85%
Revenue Next 3Y9.96%
Revenue Next 5Y10.12%
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.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 3.38 indicates a rather cheap valuation of AMZN.
100.00% of the companies in the same industry are more expensive than AMZN, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of AMZN to the average of the S&P500 Index (27.54), we can say AMZN is valued rather cheaply.
A Price/Forward Earnings ratio of 2.90 indicates a rather cheap valuation of AMZN.
Based on the Price/Forward Earnings ratio, AMZN is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.44, AMZN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.38 | ||
| Fwd PE | 2.9 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AMZN indicates a rather cheap valuation: AMZN is cheaper than 100.00% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AMZN indicates a rather cheap valuation: AMZN is cheaper than 100.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.03 | ||
| EV/EBITDA | 1.18 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of AMZN may justify a higher PE ratio.
AMZN's earnings are expected to grow with 20.60% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.2
PEG (5Y)0.09
EPS Next 2Y18.35%
EPS Next 3Y20.6%
5. Dividend
5.1 Amount
No dividends for AMZN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:AMZN (7/18/2025, 7:00:00 PM)
26.54
+0.12 (+0.45%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners65.25%
Inst Owner ChangeN/A
Ins Owners8.6%
Ins Owner ChangeN/A
Market Cap281.26B
Analysts84.1
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)22.37%
Min EPS beat(2)22.03%
Max EPS beat(2)22.71%
EPS beat(4)4
Avg EPS beat(4)20.13%
Min EPS beat(4)15.6%
Max EPS beat(4)22.71%
EPS beat(8)8
Avg EPS beat(8)35.74%
EPS beat(12)10
Avg EPS beat(12)26.01%
EPS beat(16)13
Avg EPS beat(16)26.34%
Revenue beat(2)0
Avg Revenue beat(2)-1.31%
Min Revenue beat(2)-1.7%
Max Revenue beat(2)-0.91%
Revenue beat(4)0
Avg Revenue beat(4)-1.59%
Min Revenue beat(4)-2.34%
Max Revenue beat(4)-0.91%
Revenue beat(8)3
Avg Revenue beat(8)-0.81%
Revenue beat(12)4
Avg Revenue beat(12)-0.85%
Revenue beat(16)5
Avg Revenue beat(16)-1.05%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.38 | ||
| Fwd PE | 2.9 | ||
| P/S | 0.31 | ||
| P/FCF | 6.03 | ||
| P/OCF | 1.71 | ||
| P/B | 0.69 | ||
| P/tB | 0.75 | ||
| EV/EBITDA | 1.18 |
EPS(TTM)7.85
EY29.58%
EPS(NY)9.15
Fwd EY34.49%
FCF(TTM)4.4
FCFY16.59%
OCF(TTM)15.52
OCFY58.49%
SpS85.46
BVpS38.31
TBVpS35.22
PEG (NY)0.2
PEG (5Y)0.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.48% | ||
| ROE | 20.72% | ||
| ROCE | 15.4% | ||
| ROIC | 12.89% | ||
| ROICexc | 16.68% | ||
| ROICexgc | 17.88% | ||
| OM | 10.75% | ||
| PM (TTM) | 9.29% | ||
| GM | 48.85% | ||
| FCFM | 5.15% |
ROA(3y)4.89%
ROA(5y)5.85%
ROE(3y)11.31%
ROE(5y)16.18%
ROIC(3y)8.32%
ROIC(5y)8.45%
ROICexc(3y)10.81%
ROICexc(5y)12.21%
ROICexgc(3y)12.02%
ROICexgc(5y)13.98%
ROCE(3y)9.97%
ROCE(5y)10.12%
ROICexcg growth 3Y12.8%
ROICexcg growth 5Y-0.82%
ROICexc growth 3Y13.63%
ROICexc growth 5Y2.45%
OM growth 3Y26.63%
OM growth 5Y15.71%
PM growth 3Y9.36%
PM growth 5Y17.59%
GM growth 3Y5.14%
GM growth 5Y3.57%
F-Score7
Asset Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 2.31 | ||
| Debt/EBITDA | 0.57 | ||
| Cap/Depr | 157.21% | ||
| Cap/Sales | 13.01% | ||
| Interest Coverage | 29.02 | ||
| Cash Conversion | 95.46% | ||
| Profit Quality | 55.49% | ||
| Current Ratio | 1.06 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 2.13 |
F-Score7
WACC9.69%
ROIC/WACC1.33
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)90.69%
EPS 3Y37.19%
EPS 5Y36.89%
EPS Q2Q%86%
EPS Next Y16.6%
EPS Next 2Y18.35%
EPS Next 3Y20.6%
EPS Next 5Y19.78%
Revenue 1Y (TTM)10.99%
Revenue growth 3Y10.74%
Revenue growth 5Y17.86%
Sales Q2Q%10.49%
Revenue Next Year9.54%
Revenue Next 2Y9.85%
Revenue Next 3Y9.96%
Revenue Next 5Y10.12%
EBIT growth 1Y86.13%
EBIT growth 3Y40.22%
EBIT growth 5Y36.38%
EBIT Next Year150.22%
EBIT Next 3Y51.56%
EBIT Next 5Y32.24%
FCF growth 1Y2.05%
FCF growth 3YN/A
FCF growth 5Y8.71%
OCF growth 1Y36.41%
OCF growth 3Y35.74%
OCF growth 5Y24.65%