Amazon Blows Past Q1 Expectations: Is the Stock Headed for $2000?
- Author: Zachary Reyes Apr 28, 2018,
Apr 28, 2018, 2:00
The news came during Amazon's recent first-quarter earnings call, during which the company reported near record-shattering revenue and profit-the second month in a row that the company experienced results that far exceeded expectations. As we pointed out especially with shipping options and digital benefits, we continue to see rises in costs.
With Amazon Prime, customers not only get access to free two-day shipping, but can also qualify for same-day delivery, or even 2-hour delivery on certain orders.
It's the first time in four years the company has announced a price hike.
Amazon's Q1 earnings report showed revenues jumped 43% to $51 billion compared with $35.7 billion a year earlier. The move coincides with the company announcing that its quarterly profits have more than doubled to $1.6 billion.
New subscribers who sign up after May 11 will have to pay the higher price, while existing renewals will be forced to fork over more from June 16. Sales from subscription services, which include Prime, were $3.1 billion in the company's first quarter - a 56% increase from the same time previous year. He also said the Prime price has been at $99 since 2014. This is likely to the ever-marching increase in companies moving to the cloud and adopting cloud-based services that tap into AWS' vast infrastructure.
Third-party sellers are a beneficiary of Amazon's strong quarter. Amazon Prime is indeed one of the best platform from where you can shop and get entertained at the same time. Now, its profit, earned by the internet trading grew up to the 1.6 billion dollars.
The impressive March quarter results of Amazon has led to a buss in the Wall Street.
Amazon is working with JPMorgan Chase & Co and Warren Buffett's Berkshire Hathaway Inc to determine how to cut health costs for hundreds of thousands of their employees.