AMAZON.COM INC - CDR (AMZN.CA) Stock Fundamental Analysis
TSX:AMZN - Toronto Stock Exchange - CA02315E1051 - Currency: CAD
Overall AMZN gets a fundamental rating of 6 out of 10. We evaluated AMZN against 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! This makes AMZN very considerable for value and growth investing!
1. Profitability
1.1 Basic Checks
In the past year AMZN was profitable.
In the past year AMZN had a positive cash flow from operations.
AMZN had positive earnings in 4 of the past 5 years.
AMZN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AMZN has a better Return On Assets (9.48%) than 75.00% of its industry peers.
AMZN has a better Return On Equity (20.72%) than 75.00% of its industry peers.
AMZN has a Return On Invested Capital of 12.89%. This is in the better half of the industry: AMZN outperforms 75.00% of its industry peers.
AMZN had an Average Return On Invested Capital over the past 3 years of 8.32%. This is below the industry average of 11.29%.
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
With a decent Profit Margin value of 9.29%, AMZN is doing good in the industry, outperforming 75.00% of the companies in the same industry.
AMZN's Profit Margin has improved in the last couple of years.
The Operating Margin of AMZN (10.75%) is better than 75.00% of its industry peers.
In the last couple of years the Operating Margin of AMZN has grown nicely.
AMZN has a Gross Margin of 48.85%. This is amongst the best in the industry. AMZN outperforms 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so AMZN is still creating some value.
The number of shares outstanding for AMZN has been increased compared to 1 year ago.
AMZN has more shares outstanding than it did 5 years ago.
AMZN has a better debt/assets ratio than last year.
2.2 Solvency
AMZN has an Altman-Z score of 2.13. This is not the best score and indicates that AMZN is in the grey zone with still only limited risk for bankruptcy at the moment.
AMZN has a Altman-Z score of 2.13. This is in the better half of the industry: AMZN outperforms 75.00% of its industry peers.
AMZN has a debt to FCF ratio of 2.31. This is a good value and a sign of high solvency as AMZN would need 2.31 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 2.31, AMZN belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
AMZN has a Debt/Equity ratio of 0.24. This is a healthy value indicating a solid balance between debt and equity.
AMZN has a Debt to Equity ratio of 0.24. This is amongst the best in the industry. AMZN outperforms 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
AMZN has a Current Ratio of 1.06. This is a normal value and indicates that AMZN is financially healthy and should not expect problems in meeting its short term obligations.
AMZN has a Current ratio of 1.06. This is in the lower half of the industry: AMZN underperforms 75.00% of its industry peers.
AMZN has a Quick Ratio of 1.06. This is a bad value and indicates that AMZN is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.87, AMZN perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| 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.
Measured over the past years, AMZN shows a very strong growth in Earnings Per Share. The EPS has been growing by 36.89% on average per year.
The Revenue has grown by 10.99% 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)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
Based on estimates for the next years, AMZN will show a quite strong growth in Earnings Per Share. The EPS will grow by 19.78% on average per year.
Based on estimates for the next years, AMZN will show a quite strong growth in Revenue. The Revenue will grow by 10.12% on average per year.
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
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of 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
The Price/Earnings ratio is 3.04, which indicates a rather cheap valuation of AMZN.
Based on the Price/Earnings ratio, AMZN is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of AMZN to the average of the S&P500 Index (25.91), we can say AMZN is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 2.61, the valuation of AMZN can be described as very cheap.
Based on the Price/Forward Earnings ratio, AMZN is valued cheaper than 100.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.77. AMZN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.04 | ||
| Fwd PE | 2.61 |
4.2 Price Multiples
AMZN's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. AMZN is cheaper than 100.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, AMZN is valued cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.43 | ||
| 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.
AMZN has a very decent 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 20.60% in the coming years.
PEG (NY)0.18
PEG (5Y)0.08
EPS Next 2Y18.35%
EPS Next 3Y20.6%
5. Dividend
5.1 Amount
AMZN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:AMZN (5/26/2025, 7:00:00 PM)
23.9
-2.52 (-9.54%)
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 Cap253.29B
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 | 3.04 | ||
| Fwd PE | 2.61 | ||
| P/S | 0.28 | ||
| P/FCF | 5.43 | ||
| P/OCF | 1.54 | ||
| P/B | 0.62 | ||
| P/tB | 0.68 | ||
| EV/EBITDA | 1.18 |
EPS(TTM)7.85
EY32.85%
EPS(NY)9.15
Fwd EY38.3%
FCF(TTM)4.4
FCFY18.43%
OCF(TTM)15.52
OCFY64.95%
SpS85.46
BVpS38.31
TBVpS35.22
PEG (NY)0.18
PEG (5Y)0.08
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%