We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Shares of Amazon (AMZN - Free Report) fell on Tuesday, just a couple of days before the e-commerce powerhouse is expected to report its first quarter financial results. Let’s take a look to see what might have caused Amazon’s stock to slip as Q1 earnings season heats up.
Amazon announced last week that its Prime program currently boasts 100 million paying members worldwide. This was the first time that Jeff Bezos’ company publicly revealed how many people pay for its highly-visible Prime memberships. Since then, Amazon investors have had a lot of other information to digest as they assess what to do with Amazon stock ahead of the release of its first quarter earnings results, after market close on Thursday, April 26.
Protests
An estimated 450 members of a German trade union took to the streets to protest Bezos and Amazon before the CEO was presented an award on Tuesday. The organization has reportedly led numerous strikes at Amazon in Germany over the last few years, calling for the company to raise pay for warehouse workers.
Some protestors held signs that read "Make Amazon pay," and even a few German government officials spoke out against Amazon’s tax practices. Amazon has rejected the union’s demands multiple times. But Amazon investors should note that Germany is the company’s second-biggest market behind the U.S.
With that said, if the current pay issues continue, while Amazon faces more tax-related backlash, investors might want Amazon to take some action in Germany.
Car Delivery
Amazon just announced that it partnered with Volvo Cars and General Motors (GM - Free Report) to allow the company to deliver packages to customers’ vehicles. The move marks a continued push from Amazon to become more intimate with its customers as it looks to gain access to their homes, and now cars.
Some investors might welcome Amazon’s latest delivery offering, while others will likely become more concerned about how much they are willing to let a company enter their lives. Either way, it underlines a wave of package thefts that have occurred as Amazon items pile up on porches and lobbies.
Q1 Estimates
Amazon posted a strong fourth quarter, with revenue and adjusted earnings both topping our Zacks Consensus Estimates. Looking ahead, the company is expected to see its Q1 revenues soar by 40.4% to reach $50.16 billion. Meanwhile, Amazon’s adjusted quarterly earnings are projected to sink by 17.6% to hit $1.22 per share.
Some investors might not be concerned with Amazon’s quarterly earnings, considering that the company is still in its growth stage and seems to care very little about its bottom line as it expands into new industries.
With that said, analysts at Piper Jaffray noted recently that Amazon might have to blow investors away for the company’s stock price to continue to climb. "A lot of things are going to have to really come through well for Amazon to keep the stock moving higher here," analyst Craig Johnson said in an interview with CNBC on Monday.
Johnson also noted that a lot of positive news is already priced into Amazon stock, which is up nearly 30% since the start of the year.
Amazon is scheduled to report Q1 results on Thursday, one day after fellow tech power Facebook . The company also follows Netflix (NFLX - Free Report) and Google parent Alphabet (GOOGL - Free Report) , which means that investors will be paying close attention to Amazon’s first quarter financial results.
Will You Make a Fortune on the Shift to Electric Cars?
Here's another stock idea to consider. Much like petroleum 150 years ago, lithium power may soon shake the world, creating millionaires and reshaping geo-politics. Soon electric vehicles (EVs) may be cheaper than gas guzzlers. Some are already reaching 265 miles on a single charge.
With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.
Image: Bigstock
Why Did Amazon (AMZN) Stock Sink Today?
Shares of Amazon (AMZN - Free Report) fell on Tuesday, just a couple of days before the e-commerce powerhouse is expected to report its first quarter financial results. Let’s take a look to see what might have caused Amazon’s stock to slip as Q1 earnings season heats up.
Amazon announced last week that its Prime program currently boasts 100 million paying members worldwide. This was the first time that Jeff Bezos’ company publicly revealed how many people pay for its highly-visible Prime memberships. Since then, Amazon investors have had a lot of other information to digest as they assess what to do with Amazon stock ahead of the release of its first quarter earnings results, after market close on Thursday, April 26.
Protests
An estimated 450 members of a German trade union took to the streets to protest Bezos and Amazon before the CEO was presented an award on Tuesday. The organization has reportedly led numerous strikes at Amazon in Germany over the last few years, calling for the company to raise pay for warehouse workers.
Some protestors held signs that read "Make Amazon pay," and even a few German government officials spoke out against Amazon’s tax practices. Amazon has rejected the union’s demands multiple times. But Amazon investors should note that Germany is the company’s second-biggest market behind the U.S.
With that said, if the current pay issues continue, while Amazon faces more tax-related backlash, investors might want Amazon to take some action in Germany.
Car Delivery
Amazon just announced that it partnered with Volvo Cars and General Motors (GM - Free Report) to allow the company to deliver packages to customers’ vehicles. The move marks a continued push from Amazon to become more intimate with its customers as it looks to gain access to their homes, and now cars.
Some investors might welcome Amazon’s latest delivery offering, while others will likely become more concerned about how much they are willing to let a company enter their lives. Either way, it underlines a wave of package thefts that have occurred as Amazon items pile up on porches and lobbies.
Q1 Estimates
Amazon posted a strong fourth quarter, with revenue and adjusted earnings both topping our Zacks Consensus Estimates. Looking ahead, the company is expected to see its Q1 revenues soar by 40.4% to reach $50.16 billion. Meanwhile, Amazon’s adjusted quarterly earnings are projected to sink by 17.6% to hit $1.22 per share.
Some investors might not be concerned with Amazon’s quarterly earnings, considering that the company is still in its growth stage and seems to care very little about its bottom line as it expands into new industries.
With that said, analysts at Piper Jaffray noted recently that Amazon might have to blow investors away for the company’s stock price to continue to climb. "A lot of things are going to have to really come through well for Amazon to keep the stock moving higher here," analyst Craig Johnson said in an interview with CNBC on Monday.
Johnson also noted that a lot of positive news is already priced into Amazon stock, which is up nearly 30% since the start of the year.
Amazon is scheduled to report Q1 results on Thursday, one day after fellow tech power Facebook . The company also follows Netflix (NFLX - Free Report) and Google parent Alphabet (GOOGL - Free Report) , which means that investors will be paying close attention to Amazon’s first quarter financial results.
Will You Make a Fortune on the Shift to Electric Cars?
Here's another stock idea to consider. Much like petroleum 150 years ago, lithium power may soon shake the world, creating millionaires and reshaping geo-politics. Soon electric vehicles (EVs) may be cheaper than gas guzzlers. Some are already reaching 265 miles on a single charge.
With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.
It's not the one you think.
See This Ticker Free >>