Jeff Bezos is like the Dennis Rodman of the business world. If he’s on your team, you absolutely love him. If you’re going up against him, he’s the most hated man imaginable. Yesterday rival Netflix ( was reporting earnings after the bell. In a little show of gamesmanship, Bezos announced NFLX - Free Report) Amazon ( would be offering up its Prime Video service as a stand-alone service for $8.99 a month. Seattle still trying to steal that Thunder. Do you think he picked that day on accident? Nope. Jeff Bezos is the guy who asks his girlfriend to marry him at your wedding reception. Goes with you to the jeweler and buys the watch you couldn’t afford but really wanted. The guy who goes to your dream vacation destination the week after you tell him about it. That’s why he’s such a beast though. That’s why Amazon is where it is today. AMZN - Free Report) Netflix didn’t exactly respond with a brilliant counter punch. The company announced it would raise the price of its standard HD plan to $10 per month, up from $9 for recent customers and $8 for longer-term customers like me, who had been grandfathered in. Netflix says it expects some moderate customer losses but expects the majority to stay. There was nothing moderate about investor’s losses in Netflix today. Shares have dropped over 11% percent on the session. The company expects to add less than half as many subscribers as it did during the first quarter with eighty percent of those coming from overseas. Netflix is planning increasing their spending on content from $5 billion this year to $6 billion next year. Earnings beat on EPS, coming in at 6 cents versus expectations for 3 cents but revenues were about ten million light at $1.96 billion.
Both Amazon and Netflix are Zacks Rank #3 (Hold) stocks right now. However, Amazon has a VGM score of A, mainly due to having a Growth Style Score of A and a Momentum Style Score of B. Amazon is set to report earnings on April 28 th. Right now the Zacks Consensus Estimate is calling for 60 cents EPS this quarter. But with Amazon, it’s the revenue numbers that mean the most. The street is looking for 27.98 billion.