This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Amazon Shares Soar as Bezos Halts Drop in Profit Margins

NEW YORK ( TheStreet) -- Amazon (AMZN - Get Report) shares are soaring in after-hours trading after the online retailer beat analysts' earnings-per-share estimates by four-fold and said profit margins held steady.

Amazon's margins, investors' biggest worry in the previous reporting period, came in at 1.45%, in line with the fourth quarter's 1.5%.
Amazon

The Seattle-based Internet giant reported quarterly earnings of 28 cents per share on $13.2 billion in revenue. Revenue rose 34%, thanks in part to strong Kindle Fire sales. Amazon ended the quarter with $5.72 billion in cash and marketable securities.

Analysts polled by Thomson Reuters expected Amazon to report earnings of 7 cents a share on $12.9 billion in revenue. Independent analysts polled by Estimize expected Amazon to book earnings of 11 cents a share on $13.03 billion in revenue.

CEO Jeff Bezos was extremely positive on the quarter, especially with the growth in books exclusive to the Kindle Store.

Amazon provided second-quarter revenue guidance, with the midpoint slightly below Wall Street estimates. Amazon forecast second-quarter revenue between $11.9 billion and $13.3 billion. Operating income will be between a loss of $260 million and a profit of $40 million. Analysts polled by Thomson Reuters had expected $12.82 billion in revenue and 20 cents per share in earnings.

Shares of Amazon finished the regular trading session higher, up 0.8% to close at $195.99. Shares are sharply higher in after-hours trading, up 9.8% to $215.26, according to Nasdaq.com.

Amazon will hold a conference call at 5 p.m. EST to discuss the results.

Interested in more on Amazon? See TheStreet Ratings' report card for this stock.

Check out our new tech blog, Tech Trends. Follow TheStreet Tech on your wireless devices.

-- Written by Chris Ciaccia in New York

>To follow the writer on Twitter, go to http://twitter.com/commodity_bull.

>To submit a news tip, send an email to: tips@thestreet.com

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
AMZN $436.04 -0.38%
AAPL $126.00 -0.35%
FB $87.55 0.30%
GOOG $522.86 -0.10%
TSLA $279.72 -0.11%

Markets

DOW 17,683.58 -46.53 -0.26%
S&P 500 2,068.76 -8.02 -0.39%
NASDAQ 4,991.94 -17.2740 -0.34%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs