Amazon.com, Inc. (NASDAQ:AMZN) faces an enormous slate of shareholder proposals

Amazon.com, Inc. (NASDAQ:AMZN) faces an enormous slate of shareholder proposals

Amazon.com, Inc. (NASDAQ:AMZN) faces an enormous slate of shareholder proposals

Amazon shareholders have been a remarkably tolerant bunch over the years, sitting idly by while the company plowed nearly all its revenues back into expanding the business, submitting few if any resolutions each year for the proxy ballot.

This year, that could change. A lot.

Amazon received more resolutions than any other company this year, according to a count by Alliance Advisors. Although a few were either withdrawn by their proponents or excluded with the permission of the Securities and Exchange Commission, shareholders still will vote on 12 measures at Amazon’s annual general meeting on Wednesday, on issues ranging from food waste to hate speech.

Nine of the resolutions were coordinated by the Interfaith Center on Corporate Responsibility, a coalition of about 300 institutional investors that press their portfolio companies to take action on human rights, gender and racial diversity, and the environment. The group decided to focus on Amazon after finding that many members had been frustrated over the years in attempting to engage the company through less confrontational means.

We’re ready to go to work to help the company lead. The only thing that’s missing is Jeff Bezos and the board.”

Other companies, the coalition said in a letter to Amazon last fall, usually at least take their concerns seriously. By contrast, Amazon held short phone calls, “ultimately leading to unproductive outcomes.”

“What can you get out of a 30-minute conversation? There was no give and take,” said Nadira Narine, senior program director with ICCR. She characterized Amazon’s attitude as, “‘We’re doing XYZ, we think that’s enough, let’s move on.'”

The large number of resolutions at Amazon’s meeting comes at a time when social and environmental activists are increasingly using the levers of corporate governance to push their agendas. They believe that’s especially important after the White House in recent years has pulled back on regulations that might have accomplished similar goals on issues such as climate change or data privacy.

Amazon’s facial recognition technology, Rekognition, is the subject of two resolutions — one calling for a study of the effects of its use by government agencies, and another that goes further, requesting a moratorium on sales to governments until potential harms are mitigated. The latter was organized by a coalition of Catholic groups after the news broke last winter that Amazon had pitched the software to Immigration and Customs Enforcement.

“There are just so many risks with this technology in the hands of governments, perpetuating increased surveillance as a whole, reinforcing bias that exists in our criminal justice system in the US,” said Mary Beth Gallagher, executive director of the Tri-State Coalition for Responsible Investment. “We don’t have the proper guardrails.”
Amazon asked the SEC for permission to omit both of those resolutions, which the SEC denied, on the grounds that they were issues of legitimate investor concern. As usual, Amazon’s board opposed every single resolution on the ballot, saying that it’s already taking action to address many of the concerns they raise.

“We generally oppose proposals requesting specific reports, policies, or initiatives for not reflecting the unique and evolving nature of our operations,” the company’s statement reads.

Amazon has been particularly defensive about its actions around environmental sustainability, with a website that touts its efforts to reduce packaging waste and operate on renewable energy. But this year, it’s facing a new type of critic: Its own employees, who are also shareholders, given that compensation at Amazon is heavily weighted towards stock.

Overall, the bias in prices is: Upwards.

The projected upper bound is: 1,933.10.

The projected lower bound is: 1,789.41.

The projected closing price is: 1,861.26.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 25 white candles and 25 black candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 43.9519. This is not an overbought or oversold reading. The last signal was a buy 4 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 47.27. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 15 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -59. This is not a topping or bottoming area. The last signal was a buy 4 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 13 period(s) ago.

Rex Takasugi – TD Profile

AMAZON COM closed down -1.450 at 1,857.520. Volume was 13% below average (neutral) and Bollinger Bands were 17% narrower than normal.

Open High Low Close Volume___
1,874.7901,879.0001,846.0001,857.520 4,005,122

Technical Outlook
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bullish

Moving Averages: 10-period 50-period 200-period
Close: 1,873.46 1,841.94 1,756.11
Volatility: 30 25 45
Volume: 4,745,775 4,440,894 5,645,810

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

AMAZON COM is currently 5.8% above its 200-period moving average and is in an downward trend. Volatility is Our volume indicators reflect volume flowing into and out of AMZN.O at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on AMZN.O and have had this outlook for the last 6 periods.

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