Amazon (AMZN) drew attention on Tuesday after a report said the company accidentally sent an internal email about planned layoffs too early. According to Reuters, the email went to some Amazon Web Services (AWS) employees and suggested that affected staff had already been told they were losing their jobs, even though no such notifications had been sent. A meeting linked to the layoffs was also briefly scheduled and then canceled, adding to confusion inside the company.
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The report said the email was tied to Amazon’s ongoing plan to cut corporate jobs, first outlined in October. Those cuts are expected to affect teams across AWS, retail, Prime Video, and human resources as Amazon works to cut costs and simplify its operations. However, the size of this round of cuts remains unclear.
Amazon laid off about 14,000 workers in October as part of a plan to reduce corporate staff by around 30,000 jobs. While that would be a small share of its 1.58 million total workforce, it would make up nearly 10% of corporate roles. Separately, Amazon has already cut jobs in its Fresh grocery and Go store units, as it closes some locations and converts others into Whole Foods stores.
Amazon Stock Movement Today
Amazon stock gained 2.63% on Tuesday and continued to inch higher in after-hours trading. The stock has also increased 6% year-to-date.
Is Amazon Stock a Buy, Sell, or Hold?
Turning to Wall Street, the analysts’ consensus rating for Amazon is Strong Buy, based on 46 Buy and a single Hold rating over the past three months. With that comes an average AMZN stock price target of $294.76, representing a potential 20.47% upside for the shares.
