Amazon's Earnings Report a Good Read
But why aren't insiders buying?
Excluding a large asset sale (its European DVD rental business), however, Amazon actually beat the number by only $0.02. But the overall picture is still strong.
The firm generated about $4.06 billion in revenue, almost 41% more than it did in the same period last year. The number was also markedly larger than $3.96 billion the Street had been expecting. Strong North American and international sales played a role.
At the same time, a number of product areas, including books and electronics, showed encouraging levels of growth - which may seem surprising, given how badly many other retailers are struggling. This could indicate a behavior shift: Strapped consumers may be heading online to make discretionary purchases, thereby saving themselves the cost of the gas required to drive to the mall.
This suggests 2 things to me: Management has been keeping a close eye on costs, and that the company is making up in volume for what it lost when it lowered prices on its wares. Both are important.
Which begs the question: If Amazon's prospects are so strong, why aren't insiders bellying up to the bar?
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