What Is AMZN Fair Value?
Amazon.com Inc. (AMZN) fair value estimate using multiple valuation models, updated daily.
As of October 31, 2026, Amazon.com Inc. (AMZN) has a composite fair value estimate of $197.72 based on four valuation models: DCF (41% weight), Graham Number (29% weight), PEG (29% weight), and DDM (0% weight). The current market price is $240.35, suggesting the stock is overvalued by 17.7%.
Data as of October 31, 2026 (today)
Composite Fair Value
Overvalued3 of 4 models$197.72
vs. current price of $240.35(-17.7%)
How Is AMZN Fair Value Calculated?
Four independent models estimate what AMZN is worth. Each uses different inputs and assumptions. The composite blends them by weight.
AMZN Intrinsic Value
Forward-looking models based on future cash flows
DCF (Discounted Cash Flow)
41% weightEstimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →
$177.71
-26.1%Overvalued
Inputs used
DDM (Dividend Discount Model)
0% weightIf a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →
N/A
This stock does not pay a dividend, so the DDM cannot be applied. The composite adjusts by redistributing this weight to the other models.
AMZN Fair Value
Current fundamentals: earnings, assets, and growth rate
Graham Number (Value Investing)
29% weightCreated by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →
$105.53
-56.1%Overvalued
Inputs used
PEG (Price/Earnings to Growth)
29% weightChecks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.
$274.01
+14.0%Fair Value
Inputs used
What If You Change the Assumptions?
Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.
Your DCF Fair Value
Current price $240.35 is 26.1% above this estimate
View 10-year cash flow projections
| Year | Projected FCF (Free Cash Flow) | Present Value |
|---|---|---|
| Year 1 | $70.60B | $63.18B |
| Year 2 | $85.58B | $68.52B |
| Year 3 | $103.72B | $74.32B |
| Year 4 | $125.72B | $80.61B |
| Year 5 | $152.38B | $87.42B |
| Year 6 | $184.69B | $94.82B |
| Year 7 | $223.85B | $102.84B |
| Year 8 | $271.32B | $111.54B |
| Year 9 | $328.85B | $120.97B |
| Year 10 | $398.58B | $131.21B |
| Terminal Value | $4.42T | $1.45T |
What Are AMZN's Key Financial Metrics?
Earnings & Growth
Current Price
$240.35
EPS (TTM)
$12.43
Forward P/E
23.0
Profit Margin
17.4%
Cash & Balance Sheet
Free Cash Flow
3.2B
EBITDA
168.9B
Book Value
$38.31
Total Debt
251.6B
What Do Analysts Say About AMZN?
Low
$230.00
Average
$332.41
High
$405.00
Upside
+38.3%
AMZN Fair Value FAQ
What is the fair value of AMZN?
Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), AMZN's estimated fair value is $197.72. The stock is currently trading at $240.35, which makes it overvalued by our analysis.
How is AMZN's fair value calculated?
We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.
Is AMZN overvalued or undervalued?
Based on our analysis, AMZN is overvalued. The current price of $240.35 is 17.7% above our estimated fair value of $197.72.
What do Wall Street analysts say about AMZN?
58 analysts cover Amazon.com Inc. with a consensus rating of "Strong Buy." The average price target is $332.41, ranging from $230.00 to $405.00. This implies 38.3% upside from the current price.