Posted on 07/24/2015 3:11:45 AM PDT by Mad Dawgg
Amazon overtook Walmart as the largest US retailer by market capitalisation on Thursday, after posting an unexpected quarterly profit and revenues that easily beat Wall Street expectations.
The online retail pioneer, which has been aggressively expanding its Amazon Prime membership service with one-day sales events and same-day free delivery options, was valued as high as $267bn after a 19 per cent share price surge in after-hours trading.
Walmart, with its network of physical stores around the US, had a market capitalisation of $235bn on Thursday.
Amazon said its second-quarter revenues hit $23.2bn, up 20 per cent on the same period last year and better than the $22.4bn average forecast of analysts.
(Excerpt) Read more at ft.com ...
I can see why Amazon is starting to pass Brick and Mortar giants like Wal-Mart. In this economy when gas prices keep rising and time becomes a premium, online shopping is going to be more and more practical and economical. Especially for folks who don't live in bigger cities.
WalMart has low-end crap for electronics. Furniture isn’t much better. You can find fantastic things on amazon.com and have them shipped to your door. Cookware, shoes, clothes, it’s all better. I do go to WalMart as a grocery store, but it’s not the only one I stop at.
I have to laugh at these pictures. I just went into a Walmart a few days ago. I had not been in a long time, but it was convenient. I truly did see people like this.
Yup, same here...
LOL...
Yeah but at Wallmart you get to touch it. For example I needed a new toaster oven. At Wallmark I was able to open/close the doors, check to see if it felt “cheap”, and “feel” how sturdy the unit was.
At Amazon I can use the reviews but it’s not the same as touching.
With the graying of America, a place like Amazon (or Walmart on-line) for shopping is a godsend. As one ages, aches, pains, disabilities increase, while energy levels decrease, and to be able to shop from the comfort of your own home, no traffic hassles, no crowds, no lugging of purchases, is a real plus. And in general, you receive your merchandise within a week (in 2 days with an Amazon Prime membership). And you can buy everything, practically everything, from light bulbs, tools, electric scooter and handicap aids, food, wine, jewelry, clothes, bed linens, shoes, batteries, magnifiers, home decor, toothpaste, mason jars, appliances of all kinds, you name it, you can buy it.
I love internet shopping. There are specialty store websites galore, services sites, medical device sites, drugstore sites, what a wonderful world of shopping we live in at our fingertips. And all while Freeping at whim. Any negatives that go along with the internet to me are far outweighed by all of the fantastic things you can do with it and on it. The genious of mankind summed up in a little metal box on your lap.
the most important fact in the article is that Amazon at last showed a profit. Unlike Walmart, Amazon is a profitless company
Keep an eye on Jet.com. I buy a lot from both Amazon and Walmart. On a paper product subscription item I had from Amazon, I paid $52— for the SAME exact thing from Jet, $39.
Competition is great!
As a social phenomenon, and as a convenience, Amazon is revolutionary.
However, I (and many others, but clearly not everyone, invest with the idea of increasing the value of my investment. Amazon is the epitome of the greater fool theory.
$85 bucks price jump in after-hours trading on a (finally!) 19 CENT quarterly profit? I know of no financial theory that can explain this. Where's the downstream payment? No one will buy them out. Are their margins going to improve dramatically? Not likely with all the competition out there. I don't get it. Wish I did.
I shop at Amazon for all but one thing Walmart offers in abundance: AMMO, bought with cash and without a trace.
I have no need to purchase ammo being I lost all my weapons in an unfortunate boating accident...
I hope your powder is as dry as your humor.
$85 bucks price jump in after-hours trading on a (finally!) 19 CENT quarterly profit? I know of no financial theory that can explain this. Where’s the downstream payment? No one will buy them out. Are their margins going to improve dramatically? Not likely with all the competition out there. I don’t get it. Wish I did.
....
Bezos, the CEO, made it clear from day one that his strategy is to invest in the company for growth, and to keep prices low. Profit isn’t the top priority for now, but as long as the company keeps growing and they aren’t going bankrupt, then then it’s a successful strategy.
It was really popular about a year ago to talk trash about Amazon because the stock price was in a temporary decline. It would have been a great time to buy the stock.
That’s a sign that their revenue growth really was unexpected. They run at “no profit” because they reinvest everything, growing the company. So this time they didn’t actually have a plan for spending that much money. But don’t worry, they’ll spend it next quarter.
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