Cloud computing and online retail behemoth Amazon (NASDAQ:AMZN) will be reporting earnings tomorrow after market close. Here’s what to look for.
Amazon met analysts’ revenue expectations last quarter, reporting revenues of $148 billion, up 10.1% year on year. It was a mixed quarter for the company: Revenue was roughly in line with expectations, as Online Stores (e-commerce) fell short while AWS (cloud infrastructure) beat. Despite in-line revenue, operating profit exceeded expectations, giving support to the bull case of higher long-term margins.
Is Amazon a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Amazon’s revenue to grow 9.9% year on year to $157.3 billion, slowing from the 12.6% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.14 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Amazon has missed Wall Street’s revenue estimates twice over the last two years.
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