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Amazon.com (AMZN) Profitability Rank : 8 (As of Mar. 2025)


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What is Amazon.com Profitability Rank?

Amazon.com has the Profitability Rank of 8. It has a higher profitability and may stay that way.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is rated on a scale of 1 to 10 and is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

Amazon.com's Operating Margin % for the quarter that ended in Mar. 2025 was 11.82%. As of today, Amazon.com's Piotroski F-Score is 6.


Competitive Comparison of Amazon.com's Profitability Rank

For the Internet Retail subindustry, Amazon.com's Profitability Rank, along with its competitors' market caps and Profitability Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Amazon.com's Profitability Rank Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Amazon.com's Profitability Rank distribution charts can be found below:

* The bar in red indicates where Amazon.com's Profitability Rank falls into.


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Amazon.com Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The rank is rated on a scale of 1 to 10. A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

Amazon.com has the Profitability Rank of 8. It has a higher profitability and may stay that way.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Amazon.com's Operating Margin % for the quarter that ended in Mar. 2025 is calculated as:

Operating Margin %=Operating Income (Q: Mar. 2025 ) / Revenue (Q: Mar. 2025 )
=18405 / 155667
=11.82 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

2. Piotroski F-Score

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

Amazon.com has an F-score of 6 indicating the company's financial situation is typical for a stable company.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

Good Sign:

Amazon.com Inc operating margin is expanding. Margin expansion is usually a good sign.

4. Consistency of the profitability

5. Predictability Rank


Amazon.com Profitability Rank Related Terms

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Amazon.com Business Description

Address
410 Terry Avenue North, Seattle, WA, USA, 98109-5210
Amazon is the leading online retailer and marketplace for third party sellers. Retail related revenue represents approximately 75% of total, followed by Amazon Web Services' cloud computing, storage, database, and other offerings (15%), advertising services (5% to 10%), and other the remainder. International segments constitute 25% to 30% of Amazon's non-AWS sales, led by Germany, the United Kingdom, and Japan.
Executives
David Zapolsky officer: Senior Vice President PO BOX 81226, SEATTLE WA 98108
Douglas J Herrington officer: CEO Worldwide Amazon Stores PO BOX 81226, SEATTLE WA 98108
Brian T Olsavsky officer: Senior Vice President and CFO PO BOX 81226, SEATTLE WA 98108
Andrew R Jassy director, officer: President and CEO PO BOX 81226, SEATTLE WA 98108-1226
Shelley Reynolds officer: Vice President PO BOX 81226, SEATTLE WA 98108
Keith Brian Alexander director P.O. BOX 81226, SEATTLE WA 98108-1226
Jonathan Rubinstein director APPLE COMPUTER INC, 1 INFINITE LOOP, CUPERTINO CA 95014
Daniel P Huttenlocher director ONE RIVERFRONT PLAZA, CORNING NY 14831
Jeffrey P Bezos director, 10 percent owner, officer: Chairman, CEO and President PO BOX 81226, SEATTLE WA 98108-1226
Adam Selipsky officer: CEO Amazon Web Services PO BOX 81226, SEATTLE WA 98108
Judith A Mcgrath director PO BOX 81226, SEATTLE WA 98108
Brad D Smith director 1040 13TH AVE, HUNTINGTON WV 25701
David H Clark officer: Senior Vice President PO BOX 81226, SEATTLE WA 98108
Edith W Cooper director C/O ETSY, INC., 117 ADAMS STREET, BROOKLYN NY 11249
Jeffrey A Wilke officer: CEO Worldwide Consumer PO BOX 81226, SEATTLE WA 98108-1226