After last night’s earning report, investors are fleeing Amazon this morning.
The stock is down 12% in pre-market trading.
Amazon’s earnings report fit a familiar pattern: Revenue met expectations growing 23% on a year-over-year basis, but it had a $US126 million loss, which was much worse than expected.
On top of that, it forecasted a gargantuan $US410-$810 million loss for the next quarter. Analysts were only expecting a $US10 million loss next quarter, according to Bloomberg terminal information.
For years Amazon has grown sales at the expense of the bottom line, and for years investors have been ok with it. It seems like their patience is currently running out.
Disclosure: Jeff Bezos is an investor in Business Insider through his personal investment company Bezos Expeditions.