The market already knew that Amazon was not immune to slower consumer spending — it’s stock is down over 60% from its highs — but the company may be in worse shape than previously thought. It has just reported results for Q3 that were roughly in line. Earnings beat by a couple pennies, and revenue of $4.2 billion was roughly in line, but the outlook is the killer.
Revenue guidance for the all-important Q4 is $6-$7 billion. Current revenue estimates are for $7.05 billion, so they’d have to nail the top side to be close. The op income outlook of $145-$305 million, is way below the $400 million or so the street was looking for (per CNBC). The stock is off at least 14% in immediate after hours trading.
We’ll cover the conference call LIVE at 5:00 PM ET.