NEW YORK (TheStreet) -- Amazon.com (AMZN) shares are up 1.4% to $310.88 in trading on Tuesday after the U.S. Supreme Court ruled in the online retailer's favor saying that the company's warehouse workers are not entitled to overtime compensation for time spent in security checklines.
The court ruled unanimously to overturn a lower court's ruling that the company was responsible for compensating workers for time spent in security checklines because the checks benefited the company.
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The checks, which are designed to prevent theft at the online retailer's warehouses, fall under federal law that exempts employers from having to pay for work-related activities that occur before or after work, -- such as standing in line to punch a time clock -- according to the court.
Separately, the company unveiled a new "Make An Offer" feature for its website. TheStreet covers that announcement in depth here.
TheStreet Ratings team rates AMAZON.COM INC as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:
"We rate AMAZON.COM INC (AMZN) a SELL. This is driven by a number of negative factors, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, generally disappointing historical performance in the stock itself, poor profit margins and feeble growth in its earnings per share."