Amazon.com Inc. (NASDAQ:AMZN) Consumer Discretionary – Internet & Catalog Retail | Reports October 27, After Market Closes.
Amazon.com, Inc. (AMZN) 3Q Earnings – Key Takeaway
- The Estimize consensus is calling for earnings per share of $1.02 on $32.80 billion, 17 cents higher than Wall Street on the bottom line and $200 million on the top
- Analysts are optimistic Amazon can extend its winning streak on the back of new initiatives and growth in key cloud computing and retail sectors
- New initiatives such as a courier service, food delivery and expansion in India will help boost sales moving forward
- What are you expecting for AMZN? Get your estimate in here!
There is no company has done a better job at garnering media attention and meetings analysts loft earnings expectations. The Jeff Bezos led company has been pushed to the top of investor’s lists after posting earnings growth for the first time in Q2 2015. Since then the stock is up nearly 90% while steadily making gains on the bottom line. Many experts now believe Amazon will become the first trillion dollar company and cross the $1000 per share threshold, at title previously believed to be Google’s.
Analysts at Estimize are calling for earnings per share of $1.02, 496% higher than the same period last year. That estimate has remained flat in the past 3 months when Amazon last reported in July. Revenue for the period is expected to increase 29% to $32.80 billion, extending its streak of double digit gains on the top line. Historically shares tend to jump 2% through the print, only to taper off over the next 30 days.
Qualivian Investment Partners Up 30% YTD; Long ORLY Thesis
Qualivian Investment Partners commentary for the second quarter ended July 30, 2020. Q2 2020 hedge fund letters, conferences and more “Short-term investors will accept a 20% gain because they didn’t spend the time to develop the conviction and foresight to see the next 500%.” - Ian Cassell Executive Summary Readers of investment letters fall into Read More
The way things have been going, it doesn’t appear as if any retail company can catch Amazon in terms of popularity. Between Alexa, AWS and Prime, Amazon has solidified itself as a clear leader of technology innovation. AMZN’s turn to profitability had been driven by the success Amazon Web Services. This is what supports many popular websites including Netflix and has been the fastest growing part of the business. AWS has since slowed down slightly while other pieces start to hold their own.
Amazon Prime and its hardware, Kindle and Echo, are becoming more widely adopted as efficient tools at modest price points. Meanwhile, new initiatives such as a courier service, fresh delivery and expansion in India will certainly help boost sales moving forward. Because AMZN has its hand in so many projects, it makes them the focus of competitive headwinds. Amazon’s cloud computing faces threats from Microsoft and Google while its retail platform competes with pretty much every retailer. FedEx and UPS aren’t likely to wait patiently while an Amazon courier services runs a muck on their market share.
The retail giant’s most recent projects include a new food delivery service, AmazonFresh, which is a simple extensions of its Amazon Prime service and Amazon Music unlimited that will compete with Pandora, Spotify and Apple radio services.
Do you think AMZN can beat estimates? There is still time to get your estimate in here!
Article by Estimize