Amazon Earnings Report This Week

It’s Monday, and we have a big week ahead of us. Why? It’s earnings season, that’s why! Today, Alphabet reported earnings. On Wednesday, Facebook will do the same. And then on Thursday, July 26th, after market close, the Amazon earnings report will be published.

Many have been waiting for the Amazon earnings report, considering 2018 has done wonders for the Seattle, Washington-based company.

Here’s what people are expecting to see.

Amazon Earnings Report: Out July 26th

So far in 2018, shares of Amazon (NASDAQ:AMZN) have increased 50%. Not surprising, considering Amazon has expanded its dominance in e-commerce this year, stealing businesses out from under people, and moving into areas we never expected—like Whole Foods.

Still, there’s no guarantee that the Amazon earnings report will exceed, or even match, analyst expectations. And there are expectations and things analysts want to know. The first thing people will look at in the earnings report is Amazon’s e-commerce revenue.

Amazon Q2 E-Commerce Revenue

Amazon makes a lot of revenue from its e-commerce business. As a result, on Thursday, many will be looking to see if there was any growth.

For perspective, in Q1, online sales in North America increased 46% Y-O-Y. If customers are still using Amazon’s e-commerce services, then the Thursday Amazon earnings report should note an increase in e-commerce revenue.

Amazon Prime Day News

In the past, Amazon has talked about its Prime Day when reporting earnings. Considering this year’s Prime Day, which took place on July 16th, saw some glitches, sending shares of the company down for a bit, investors will be looking to see if Amazon touches on this.

Amazon Web Services News

It’s fair to say that AWS is Amazon’s baby. And though we shouldn’t expect a lot of growth Y-O-Y, there haven’t been any signs that AWS’s growth and popularity are slowing down.

Things investors will be looking for is whether or not there has been a significant drop-off in AWS, as well as if competition from other companies is catching up on Amazon.

Trump Comments

Today, President Trump slammed Amazon on Twitter. This caused Amazon’s stocks to drop, and I expect it is not how the company wanted the days leading up to its earnings report to be.

I certainly don’t think the comments of Trump will affect the Amazon earnings report, or what happens after, but I think we can agree that this was bad press in a critical week.