diff --git a/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorHelpers.cpp b/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorHelpers.cpp
index 7cdd87d0ae..c67352d02f 100644
--- a/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorHelpers.cpp
+++ b/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorHelpers.cpp
@@ -138,6 +138,11 @@ namespace AzToolsFramework
 
     bool EntityIdUnderCursor::IsPrefabEntity() const
     {
+        if (m_entityId == AZ::EntityId())
+        {
+            return false;
+        }
+
         return m_entityId != m_rootEntityId;
     }
 
diff --git a/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorHelpers.h b/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorHelpers.h
index cd99087852..43282180db 100644
--- a/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorHelpers.h
+++ b/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorHelpers.h
@@ -45,7 +45,7 @@ namespace AzToolsFramework
         AZ::EntityId GetRootEntityId() const;
 
         //! Returns true if the entity id under the cursor is part of a prefab, otherwise false.
-        //! @note In the case of no entity id under the cursor, true is returned (although consider this behavior undefined).
+        //! @note In the case of no entity id under the cursor, false is returned.
         bool IsPrefabEntity() const;
 
     private: