(CercleFinance.com) – Amazon gained more than 12% on Friday on the New York Stock Exchange after reporting much better than expected second quarter results and unveiling encouraging forecasts for the current quarter.
The American e-commerce group has made over the last three months an operating profit of 3.3 billion dollars, against 7.7 billion dollars a year earlier.
This performance, however, exceeds the objectives that had been communicated by the group and which showed a maximum forecast of three billion dollars for operating profit for the quarter.
Turnover has meanwhile increased by 7% over one year, to 121.2 billion dollars, while the group was aiming for a range of 116 to 121 billion.
“The good surprise in terms of sales illustrates the extent to which Amazon’s offer remains relevant in a context that is nevertheless marked by a weakening in consumption”, underline this morning the analysts at Jefferies.
‘Despite inflationary pressures, a tight labor market and fixed costs far from being maximized, Amazon delivered solid results in the second quarter, benefiting from a high level of demand and an improvement in the optimization of its logistics centres’, add the Wedbush teams.
At BofA, pointed out that the Seattle group’s higher-than-expected gross margin for the past quarter is “very good news” in view of the difficulties currently facing the American retail sector.
For the third quarter, Amazon said it expects business to pick up, with revenue expected to be between $125 billion and $130 billion, representing growth of 13% to 17% year-on-year.
But analysts at Mizuho warn that the internet giant may not remain immune to decelerating growth for very long.
‘While the stock’s valuation is attractive at 12x expected Ebitda for 2024 and we appreciate the company’s fundamentals, the stock could be volatile in the short term as the economic uncertainties for 2023 set in. demonstrate’, warns the broker.
Copyright (c) 2022 CercleFinance.com. All rights reserved.
Are you following this action?
Receive all the information on AMAZON.COM in real time: