Amazon Earnings Preview: What to Watch
Amazon.com (NASDAQ: AMZN) is slated to report its first-quarter 2020 results after the market closes on Thursday, April 30.
Investors will likely be approaching the report with optimism tinged with some uncertainty. On the positive side, we know the tech giant's e-commerce sales should be very strong, driven by a huge increase in online shopping for essential products in March stemming from the coronavirus pandemic. On the other hand, the company has incurred significant expenses associated with its rapid ramp-up in capacity.
Amazon stock was already outperforming the market this year before the pandemic, thanks largely to the company's late January release of fourth-quarter 2019 results that crushed Wall Street's earnings expectation. The global health crisis has propelled the stock to an even greater outperformance. In 2020, shares are up 29.9%, while the S&P 500 (including dividends) has dropped 12.9% through Thursday, April 23.
Source Fool.com
