Investing in Stock market

Investing in Stock market


(BFM Stock Exchange) – The title of the US online trading giant loses more than 8% at the opening and falls to its lowest level since June, the growth of its quarterly revenue was not enough to grant the analysts’ expectations.

In the third quarter of 2018, Amazon’s revenue grew by 29% (30% excluding currency effects) to reach $ 56.6 billion. This amount (in comparison, greater than the cumulative revenue of L’Oréal and Danone – in one year), has disappointed the market, and should be worth a severe correction to the Seattle group. On average, analysts expected $ 57.07 billion in revenue in the past quarter, according to the consensus established by Bloomberg.

At the same time, with a net profit of $ 2.883 billion, Amazon’s earnings per share amounted to $ 5.75, this time exceeding the consensus of $ 5.62. “We are not slowing down,” Bezos said in a statement. In particular, the group’s founder highlighted the rapid expansion of Amazon Business, its marketplace dedicated to professionals, which is gaining more and more customers not only among companies (now more than half of the 100 largest US companies) but also on the community side. Revenue from its Amazon Web Services business (including cloud services) grew by 46 percent over the period to $ 6.679 billion.

Exceeded by Microsoft
For the fourth quarter, the company also said it expected revenue of $ 2.1 billion to $ 3.6 billion in the final quarter of 2018, with the low end of this range stagnating relative to the fourth quarter. fourth quarter 2017, which also puzzled investors.

Given the expected decline in the stock, Amazon has sold its second-tier global share to another group on the US West Coast: Microsoft. The latter, who unveiled its quarterly results 24 hours ago, had already jumped 5.8% Thursday.

Around 15:46 this Friday, Amazon action was down 8.78% to 1.625 dollars.

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