Question

What are the details of stock offerings has Amazon had? What has been the performance of the stock in the past 10 years? What is the dividend and dividend percentage? Calculate the value of the common stock of the firm.

Answer 1

What are the details of stock offerings has Amazon had:

Amazon.com Inc. held its initial public offering (IPO) on the Nasdaq on May 15, 1997 at a price of $18 per share. $10,000 invested on that day and price would be worth more than $12 million as of May, 2020. That's more than 120,000% growth. The company's own growth has been geometric since its early days as an online bookseller to a juggernaut of a business that sells everything from books to groceries, and data storage to movies. AMZN's market value eclipsed $1Trillion in 2018, and its founder, Jeff Bezos is far and away the richest person in the world.

Amazon (AMZN) is, by far, the most well-known online retailer in the world. The company was founded in 1994 by Jeff Bezos, who originally ran it out of his garage. It's now become one of the world's leading influential companies, and also runs web and cloud computing services, along with artificial intelligence operations.

It became the second company to hit $1 trillion in market value on Sept. 4, 2018, close on the heels of Apple, which achieved this feat in early August. But in the 20-plus years since its initial public offering (IPO), Amazon stock was not always the hot commodity it is today. When Amazon first went public in 1997, its stock was priced at just $18 per share. From that modest beginning, the online retail giant has seen its stock skyrocket, despite a rocky period during the dot-com crash. The company's stock has reached the four-digit mark, hitting a new high of $2,185.10 per share on Feb. 19, 2020, during intraday trading.

What has been the performance of the stock in the past 10 years:

Period	Period Low		Period High	Performance
5-Day	2,337.80 +3.08% on 05/13/20	Period Open: 2,379.61	2,419.67 -0.41% on 05/11/20	+30.17 (+1.27%) since 05/08/20
1-Month	2,256.38 +6.80% on 05/04/20	Period Open: 2,307.68	2,475.00 -2.64% on 04/30/20	+102.10 (+4.42%) since 04/15/20
3-Month	1,626.03 +48.20% on 03/16/20	Period Open: 2,134.87	2,475.00 -2.64% on 04/30/20	+274.91 (+12.88%) since 02/14/20
6-Month	1,626.03 +48.20% on 03/16/20	Period Open: 1,739.49	2,475.00 -2.64% on 04/30/20	+670.29 (+38.53%) since 11/15/19
YTD	1,626.03 +48.20% on 03/16/20	Period Open: 1,847.84	2,475.00 -2.64% on 04/30/20	+561.94 (+30.41%) since 12/31/19
52-Week	1,626.03 +48.20% on 03/16/20	Period Open: 1,871.15	2,475.00 -2.64% on 04/30/20	+538.63 (+28.79%) since 05/15/19
2-Year	1,307.00 +84.37% on 12/24/18	Period Open: 1,576.12	2,475.00 -2.64% on 04/30/20	+833.66 (+52.89%) since 05/15/18
3-Year	927.00 +159.95% on 06/05/17	Period Open: 959.84	2,475.00 -2.64% on 04/27/20	+1,449.94 (+151.06%) since 05/15/17
5-Year	419.14 +474.93% on 06/08/15	Period Open: 427.63	2,475.00 -2.64% on 04/27/20	+1,982.15 (+463.52%) since 05/18/15
10-Year	105.80 +2,177.67% on 07/01/10	Period Open: 125.46	2,475.00 -2.64% on 04/01/20	+2,284.32 (+1,820.76%) since 05/01/10

What is the dividend and dividend percentage:

Historical dividend payout and yield for Amazon (AMZN) since 1971. The current TTM dividend payout for Amazon (AMZN) as of May 15, 2020 is $0.00. The current dividend yield for Amazon as of May 16 2020 is 0.00%

Calculate the value of the common stock of the firm:

As of today (2020-05-16), Amazon.com's Intrinsic Value: Projected FCF is $412.65. The stock price of Amazon.com is $2409.78. Therefore, Amazon.com's Price-to-Intrinsic-Value-Projected-FCF of today is 5.8.

Intrinsic Value: Projected FCF	=	(Growth Multiple	*	Free Cash Flow (6 year avg)	+	Total Stockholders Equity (Mar20)	*	0.8)	/	Shares Outstanding (Diluted Average)
	=	(14.862653310476	*	10535.5	+	65272	*	0.8)	/	506.000
	=	412.65