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Amazon.com (AMZN): Q1 EPS of $0.18 beats by $0.09. Revenue of $16.07B (+22% Y/Y) misses by $90M....

Amazon.com (AMZN): Q1 EPS of $0.18 beats by $0.09. Revenue of $16.07B (+22% Y/Y) misses by $90M. Expects Q2 revenue of $14.5B-$16.2B vs. $15.9B consensus. Expects Q2 operating income of -$340M to +$10M; EPS consensus is at $0.22. Shares +1.4% AH. CC at 5PM ET (webcast). (PR)
Comments (16)
  • Let's recap, misses on revenue, probably down significantly whispers, beats on profit but a huge drop from last year nevertheless, loses on projections

     

    Stock of course will shoot up, this is amzn we're talking about.
    25 Apr 2013, 04:18 PM Reply Like
  • you never wanna short amazon before earnings. if its a beat on everything the stock shoots up, if it misses it still seems to go up.
    25 Apr 2013, 04:52 PM Reply Like
  • Except today apparently...down 5% AH
    25 Apr 2013, 05:34 PM Reply Like
  • Amazon results:

     

    EPS today 18 cents

     

    Last year EPS 28 cents

     

    Down 35.7% (yoy)

     

    Net Income Today 82 million

     

    Last Year 130 million

     

    Down 36.9% (yoy)

     

    Is this suppose to be good? Yet the stock is at or near all time highs. Can you say bubble stock?
    25 Apr 2013, 04:22 PM Reply Like
  • But it "beat expectations!"
    25 Apr 2013, 04:40 PM Reply Like
  • How can they not beat expectations,,,they are so horrifically LOW.
    25 Apr 2013, 04:51 PM Reply Like
  • Yes it beat wall streets lowered "9 cents EPS expectations". What we are looking at is another case of manufactured earnings surprise.

     

    The analyst have an easy job. All they have to do is continue to do the same thing, quarter after quarter, year after year. If they keep lowering expectations then each quarter the company will unbelievably "beat" expectations. So the stock goes up. The truth, AMZN is doing worse now than it was last year (yoy).

     

    So, eventually the stock will have to come back to fair value. It is only a matter of time. It could be in the next 2 weeks, 2 months or next year. Hard to tell with so much dumb money chasing the stock.

     

    I still think you have to buy stocks, we don't have much choice. Just not this one. But, you don't buy a stock with net income misses. I think net income is the single most important measure of how a company is doing. You can't continue to sell your products at cost just to juice the revenue numbers when your company does not make any profit on the products.
    25 Apr 2013, 05:03 PM Reply Like
  • Rick, not only that, when you dive into the numbers a big chunk of the earnings was because of a tax credit, not because of operations. Amazon is an internet era bubble stock, a bubble inflated with poop, that is going to burst and when it happens it isn't going to be pretty. It's going to smell bad too. Amazon long investors need to purchase hazmat suits; I'm sure Amazon sells them ;)
    26 Apr 2013, 11:44 AM Reply Like
  • Old story. The revenue and guidance missed, the stock is up. I don't read much in "earnings beat" (let's see how they arrive at it), the guidance is now for a loss in Q2 vs. expected profit (-$0.36 vs. $0.22 a share!), which means further revisions down in yearly EPS. They may end losing money again in 2013.

     

    Shouldn't they just declare bankruptcy so the stock can skyrocket to $1,000 a share?
    25 Apr 2013, 04:27 PM Reply Like
  • P.S. Hint: read "comprehensive income" section - they really only earned $2M. There was no real earning beat, at least not from better operations.
    25 Apr 2013, 04:58 PM Reply Like
  • AMZN's valuation has been completely irrational for many years. Despite outlooks that are heavily weighted toward the negatives and shrinking margins, the stock continues to climb. Why doesn't this change? I'm guessing a cartel is running it up. Massive purchasing and selling around the same people at increasingly higher prices, in conjunction with positively-charged reviews, reports and headlines to fool the algorithmic trading programs, are wreaking havoc on rational traders who assume this system is fair... Of course, this is all conjecture. Feel free to waste your money trying to short or put this stock. Or you can join the irrational group and hope that the market remains oblivious.
    25 Apr 2013, 04:35 PM Reply Like
  • the reason for amazon's high valuation is that it has so much growth potential as a company. It owns the online marketplace, it has the most dominant cloud computing, I reckon amazon is just constantly reinvesting into its growth.
    25 Apr 2013, 04:56 PM Reply Like
  • Classic momo stock.
    25 Apr 2013, 05:10 PM Reply Like
  • Where's Paulo?
    25 Apr 2013, 08:06 PM Reply Like
  • Where's Macaroni Invertor for some real commentary?
    26 Apr 2013, 08:50 AM Reply Like
  • If my wife expected chocolates and flowers on Valentine's day, and I show up with a diamond necklace, the positive reaction only lasts a day. Why should stocks be any different?
    26 Apr 2013, 05:26 PM Reply Like
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