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Amazon.com Inc
AMZN : NASDAQ : Services

$261.80 -1.16 | -0.44%
Today's Range: 259.59 - 263.17
Avg. Daily Volume: 3,098,800
05/23/13 - 4:00 PM ET

Financial Analysis


AMAZON.COM INC's gross profit margin for the first quarter of its fiscal year 2013 has increased when compared to the same period a year ago. Even though sales increased, the net income has decreased, representing a decrease to the bottom line.

During the same period, stockholders' equity ("net worth") has increased by 15.96% from the same quarter last year.



Income Statement Q1 FY13 Q1 FY12
Net Sales ($mil)16070.013185.0
EBITDA ($mil)912.0695.0
EBIT ($mil)212.0238.0
Net Income ($mil)82.0130.0


Balance Sheet Q1 FY13 Q1 FY12
Cash & Equiv. ($mil)7895.05715.0
Total Assets ($mil)28377.020339.0
Total Debt ($mil)3040.00.0
Equity ($mil)8432.07271.0


Profitability Q1 FY13 Q1 FY12
Gross Profit Margin30.9227.42
EBITDA Margin5.675.27
Operating Margin1.321.81
Sales Turnover2.252.53
Return on Assets-0.32.75
Return on Equity-1.037.7
Debt Q1 FY13 Q1 FY12
Current Ratio1.141.16
Debt/Capital0.270.0
Interest Expense33.021.0
Interest Coverage6.4211.33


Share Data Q1 FY13 Q1 FY12
Shares outstanding (mil)455.0450.0
Div / share0.00.0
EPS0.180.28
Book value / share18.5316.16
Institutional Own % n/a n/a
Avg Daily Volume3162697.03578695.0

Valuation


HOLD. The current P/E ratio is negative, which has no meaningful value in the assessment of premium or discount valuation, it simply displays that the company has negative earnings. For additional comparison, its price-to-book ratio of 14.25 indicates a significant premium versus the S&P 500 average of 2.44 and a significant premium versus the industry average of 11.29. The price-to-sales ratio is above the S&P 500 average, but well below the industry average. After reviewing these and other key valuation criteria, AMAZON.COM INC proves to trade at a premium to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
AMZN NM Peers 105.32   AMZN 28.06 Peers 25.56

Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings.

AMZN's P/E is negative making this valuation measure meaningless.

 

Average. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

AMZN is trading at a valuation on par to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
AMZN 85.75 Peers 122.79   AMZN NA Peers 0.96

Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations.

AMZN is trading at a significant premium to its peers.

 

Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

Ratio not available.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
AMZN 14.25 Peers 11.29   AMZN -116.52 Peers -55.77

Premium. A higher price-to-book ratio makes a stock less attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

AMZN is trading at a significant premium to its peers.

 

Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

However, AMZN is expected to significantly trail its peers on the basis of its earnings growth rate.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
AMZN 1.88 Peers 5.07   AMZN 24.45 Peers 24.63

Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

AMZN is trading at a significant discount to its industry on this measurement.

 

Average. Comparing a company's sales growth to its industry helps to determine if the company is adding or losing market share.

AMZN is keeping pace with its peers on the basis of sales growth.

 

 

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