Amazon shares dropped by 7% last Friday following a .
Amazon said that its revenue in the third quarter of the year had risen by 29% to $56.6 billion. Profits had risen from $256 million to $2.9 billion.聽However, the increase was not enough to satisfy Wall Street’s expectations. Investors accustomed to larger rates of growth were unimpressed by Amazon’s forecast of $2.1 billion in profits this holiday season.
The fall in value meant that Microsoft Corp (MSFT) reclaimed its place as second-most valuable company in the United States. Last Wednesday the computing stalwart聽delivered better quarterly profits than expected, largely driven by its cloud computing arm Microsoft Azure. Shares went up 4% to a total stock market value of聽$823 billion, while聽Amazon came in at $805 billion.
AMZN’s stock market value had hit an all-time high at $902 billion this July, when Amazon announced a turnover of over $4 billion in product during its annual Prime Day sale. Prime members purchased more than 100 million items and the company received record numbers of Prime sign-ups. Among best-sellers were Amazon’s own Fire, Echo and Kindle products.
Apple Inc (AAPL) continues to lead the stock market at over $1 trillion USD after crossing that threshold in early August. The landmark made it the , and worth more than the gross domestic product of all but 16 countries.
