Form 4: Amazon Exec Sells Shares Under 10b5-1 Plan

Amazon's CEO of AWS, Matthew S. Garman, reported the sale of over 21,000 shares of Amazon common stock, executed under a pre-arranged trading plan.

Summary

• Matthew S. Garman, CEO of Amazon Web Services, has reported transactions involving Amazon.com Inc. common stock.
• On May 15, 2026, Garman acquired 13,500 shares of common stock with a transaction code 'M' (acquisition) at a price of $0, likely representing an award or grant.
• On the same date, Garman disposed of a total of 21,426 shares of common stock through multiple transactions coded 'S' (sale).
• These sales occurred at weighted average prices of $261.79, $262.85, and $263.57, with the highest price at $263.86 and the lowest at $261.29.
• The transactions were executed under a Rule 10b5-1 trading plan adopted on May 6, 2025.
• Following these transactions, Garman beneficially owns 19,516 shares directly and an additional 11,430 shares directly, with indirect ownership of 887.52 shares through the Amazon.com 401(k) Plan Account.

Sentiment

Score: 4

Explanation: StockSavvy.ai views this filing as neutral to slightly negative due to the significant sale of shares by a key executive, despite the execution under a pre-arranged plan. The acquisition of shares at $0 is a positive indicator of compensation, but the sale volume warrants attention.

Positives

• The transactions were conducted under a Rule 10b5-1 trading plan, indicating pre-planned and potentially less market-sensitive sales.
• The acquisition of 13,500 shares at $0 suggests a stock award or grant, which can be viewed positively as a form of executive compensation and incentive.

Negatives

• A significant number of shares (21,426) were sold by a key executive, which could be perceived negatively by the market.
• The sales occurred at prices ranging from $261.29 to $263.86, indicating a divestment of stock during a period of trading.

Risks

• The sale of a substantial number of shares by a high-ranking executive could signal a lack of confidence in future stock performance, although it was executed under a pre-existing plan.
• Potential for negative market perception due to insider selling, even if planned.

Future Outlook

The filing does not contain forward-looking statements or guidance. It solely reports past transactions.

Management Comments

• The reporting person undertakes to provide, upon request by the staff of the SEC, the issuer, or a security holder of the issuer, full information regarding the number of shares transacted at each price, with respect to all transactions reported on this Form 4.

Industry Context

StockSavvy.ai notes that Form 4 filings are standard disclosures for insider transactions. The use of a Rule 10b5-1 plan by Amazon executives is common practice to diversify holdings or meet financial needs while adhering to insider trading regulations. The volume and timing of such sales can influence investor sentiment, but the pre-planned nature mitigates concerns about opportunistic trading.

Stakeholder Impact

• Shareholders: May interpret the sale as a negative signal, potentially impacting short-term stock price, though the 10b5-1 plan mitigates this concern.
• Employees: The sale by a senior executive might influence employee sentiment regarding the company's future prospects.
• Management: Reinforces the use of established compliance procedures for executive stock transactions.

Next Steps

• The reporting person may be asked to provide further details on the specific prices of shares sold.
• Continued monitoring of insider transactions for any patterns or significant shifts in executive holdings.

Key Dates

Keywords

SEC Form 4, Insider Trading, Matthew S. Garman, Amazon, AMZN, Stock Sale, Rule 10b5-1, Executive Compensation, Beneficial Ownership