Financial statement analysis and common stock valuation

Income Statement

The income statement (statement of earnings) reports on the performance of Amazon.com Inc., the result of its operating activities.

Cash Flow Statement
Quarterly Data

The cash flow statement provides information about Amazon.com Inc. cash receipts and cash payments during an accounting period, showing how these cash flows link the ending cash balance to the beginning balance shown on Amazon.com Inc. balance sheet.

Balance Sheet: Assets

The assets reports major classes and amounts of resources owned or controlled by Amazon.com Inc..

Analysis of Short-term (Operating) Activity Ratios

Evaluates revenues and output generated by the Amazon.com Inc. assets. Operating performance ratios describe the relationship between the Amazon.com Inc. level of operations and the assets needed to sustain operating activities.

• Short-term Activity Ratios (Summary)
• Inventory Turnover
• Receivables Turnover
• Payables Turnover
• Working Capital Turnover
• Average Inventory Processing Period
• Average Receivable Collection Period
• Operating Cycle
• Average Payables Payment Period
• Cash Conversion Cycle

Analysis of Revenues

• Revenues as Reported

Analysis of Long-term (Investment) Activity Ratios
Quarterly Data

Measures how efficiently Amazon.com Inc. generates revenues from its investments in fixed or total assets.

• Long-term Activity Ratios (Summary)
• Net Fixed Asset Turnover
• Total Asset Turnover
• Equity Turnover

Cash Flow Statement

The cash flow statement provides information about Amazon.com Inc. cash receipts and cash payments during an accounting period, showing how these cash flows link the ending cash balance to the beginning balance shown on Amazon.com Inc. balance sheet.

Statement of Comprehensive Income

Comprehensive income is the change in equity (net assets) of Amazon.com Inc. during a period from transactions and other events and circumstances from non-owners sources. It includes all changes in equity during a period except those resulting from investments by owners and distributions to owners.

Common-Size Balance Sheet: Liabilities and Stockholders’ Equity

Liabilities and stockholders’ equity components shown as percentage of total liabilities and stockholders’ equity.

Analysis of Debt

• Total Debt (Carrying Amount)
• Total Debt (Fair Value)
• Weighted-average Interest Rate on Debt

Analysis of Profitability Ratios

Measures the income of Amazon.com Inc. relative to its revenues and invested capital.

• Profitability Ratios (Summary)
• Gross Profit Margin
• Operating Profit Margin
• Net Profit Margin
• Return on Equity (ROE)
• Return on Assets (ROA)

Common Stock Valuation Ratios

Relative valuation technique determine the value of Amazon.com Inc. by comparing it to similar entities (like industry or sector) on the basis of several relative ratios that compare its stock price to relevant variables that affect the stock value, such as earnings, book value, and sales.

• Current Valuation Ratios
• Historical Valuation Ratios (Summary)
• Price to Earnings (P/E)
• Price to Operating Profit (P/OP)
• Price to Sales (P/S)
• Price to Book Value (P/BV)