Jeff Bezos Sells $4 Billion in Amazon Stock Amid Plans for Future Share Disposals

Jeff Bezos, Amazon's founder, has recently liquidated $4 billion of his Amazon shares, disposing of $2 billion over the past week following an equivalent amount the week before. These sales were disclosed through regulatory filings and mark a significant selloff by the former CEO, who now serves as executive chairman. Bezos is in the process of relocating his main residence to Florida, known for its favorable tax regime—a likely influence on his decision to sell shares in a state that does not tax income or capital gains. With these recent sales, Bezos has parted with nearly 25 million shares since he vacated his position as Amazon's CEO.

Earlier in the month, Bezos announced his intention to sell 50 million Amazon shares by 2025, entrusting the brokerage firm Morgan Stanley for this massive disposition. Yet, despite his substantial selloffs, he remains the largest shareholder of Amazon, retaining approximately ten percent of the company's stock.

Forbes lists Bezos as the third richest individual globally, with a net worth of roughly $190 billion, just behind Elon Musk and the leading Bernard Arnault and family. Top institutional holders of Amazon apart from Bezos include Vanguard Group, BlackRock, and State Street Corporation with ownership stakes of 6.9 percent, 5.8 percent, and 3.3 percent, respectively.

Most proceeds from his Amazon stock sales have been channeled into Bezos's other endeavors, notably his aerospace company Blue Origin and various philanthropic efforts. Meanwhile, Amazon's shares have witnessed more than a 50 percent upswing since February 2023, hovering close to their peak with a market capitalization near $1.75 trillion. Post-Amazon, Bezos has been focusing more on Blue Origin and his philanthropy projects.

While still being listed in Seattle, Bezos has actually shifted to Miami, inspired in part by his personal preferences and also by strategic tax planning. This move not only brings him closer to family and Blue Origin's rocket launches but also promises significant tax savings—a clever financial play considering Washington introduced a capital gains tax in 2022.

By 2025, the predicted savings from Florida's tax benefits could potentially cover his superyacht Koru, which cost $500 million. The final tax savings will be contingent on Amazon's share price remaining steady or increasing over the coming years.

Amazon's fiscal performance has also been flourishing, with the company reporting revenues of $170 billion in the last quarter of the previous year, driven by robust holiday sales. This outcome exceeded expectations and propelled Amazon shares to rise over 8 percent after the announcement.

Bezos and his fiancée Lauren Sanchez have invested in real estate in Miami's Indian Creek, an enclave for affluent individuals including Tom Brady and Ivanka Trump. Bezos's acquisitions on the island total $147 million, and he is reportedly eyeing additional properties there.

Bezos, Amazon, stock