Why Amazon Is Crashing: Jeff Bezos' Nightmare Quarters In Charts
The only six charts you need to know why the Amazon dream is over and why AMZN stock is currently crashing after hours to fresh 52 week lows.
Total employees and global sales growth:
Quarterly Operating and Net Income
Operating Margin: whoosh
LTM Operating Margin: at 0.1% it is pretty much the lowest ever.
Q3 over time for profit and net income
And for operating margin
and the result so far...
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The issue is how it got so bad in the first place. A few people have constantly brought up Amazon's lack of profitability, slowing growth, growing competition, and lack of focus but it has fallen on deaf ears. As is Salesforce and a slew of other companies wowing Wall Street with accounting gimmicks and don't look at the books arguments.
Amazon has beaten other companies before, but currently what Amazon must face is its worst enemy, a management that has lost focus and is squandering the advantages of the company. Maybe they should start reading the business and finance books they carry.