Rep. Khanna Is Deeply Underwater on His Amazon Stock Trades
Shares of Amazon (AMZN: US) are down almost 20% in the last seven days after the e-commerce giant reported much weaker-than-expected results and guidance.
Amazon stock plunged after the company reported that it expects to record Q4 revenue of between $140 billion and $148 billion, widely missing the $155.15 billion consensus. For its third quarter, Amazon reported that revenues increased 15% year-over-year to $127.1 billion, somewhere in-line with expectations.
Moreover, investors were also disappointed to hear that AWS, Amazon’s cloud business, grew “just” 27.5%, its slowest growth since 2014. All-in-all, the report just raised investors’ concerns about the weakening demand for e-commerce and cloud services amid recession fears.
Looking at the trades that U.S. representatives were making in AMZN stock heading into the Q3 report, we can see that Congressman Ro Khanna has been accumulating Amazon shares for some time now.
His most recent trades, made in September, were all on the buy side of the market. Rep. Khanna, the U.S. representative from California's 17th congressional district since 2017, disclosed he made five trades in September, buying Amazon shares when the market closed at $114.8 and $126.28.
Mr. Khanna was also buying AMZN shares in August at prices that were comfortably above $130 per share. While he was mostly trading smaller sizes, it is also worth noting that Congressman Khanna bought between $100,000 to $250,000 worth of Amazon shares in February this year at prices equal to around $155 per share, bearing in mind Amazon’s 20-for-1 stock split.
Amazon shares traded at around $97.50 on Tuesday, November 1st, 2022.
