{ }
Symbol AMZN
Name Amazon.com, Inc.
Currency USD
Sector Consumer Discretionary
IndustryGroup Retailing
Industry Internet & Direct Marketing Retail
Market NASDAQ Global Select
Country United States
State WA
City Seattle
Zipcode 98109-5210
Website http://www.amazon.com
Microsoft's CFO Amy Hood announced a projected $1.5 billion hit to income this quarter due to losses from its significant investment in OpenAI, which totals nearly $14 billion. Despite OpenAI's expected $5 billion loss this year, Microsoft remains committed to the partnership, integrating its models into various products while exploring alternatives for some features. CEO Satya Nadella expressed confidence in the collaboration, emphasizing its mutual benefits.
Asia-Pacific markets are poised for a mixed opening as investors await the Bank of Japan's rate decision and China's manufacturing PMI figures. The BOJ is expected to maintain rates at 0.25%, while China's PMI is forecasted at 49.9, indicating continued contraction in the manufacturing sector. In the U.S., tech stocks fluctuated, with Alphabet outperforming expectations, while AMD's shares fell sharply due to disappointing guidance.
eBay's shares fell nearly 9% in after-hours trading following a disappointing fourth-quarter revenue forecast, predicting between $2.53 billion and $2.59 billion, below analyst expectations of $2.65 billion. Despite reporting third-quarter earnings of $1.19 per share and revenue of $2.58 billion, the company faces increasing competition from rivals like Amazon and Walmart. eBay's gross merchandise volume grew 2% year over year to $18.3 billion, surpassing projections, as it focuses on niche markets and leverages AI tools to enhance user experience.
In a recent discussion, Allegra Stratton and Stephanie Flanders highlighted the trend of US executives refraining from endorsing presidential candidates like Kamala Harris and Donald Trump. Charles Elson of the Weinberg Center for Corporate Governance suggests this impartiality reflects a return to tradition, driven more by concerns over customer backlash than fear of political retribution.
Hedge funds are closely watching earnings reports from major tech companies, with Alphabet's strong results boosting investor sentiment. Microsoft and Meta Platforms will report after the market closes on Wednesday, followed by Amazon on Thursday, all of which are heavily held by hedge funds. Rising short positions in Microsoft and Meta suggest potential volatility post-earnings, while Apple will also announce its quarterly results on Thursday.
Microsoft is set to report its fiscal first-quarter results, with analysts expecting earnings per share of $3.10 and revenue of $64.51 billion, reflecting a 14% annual growth. The company is revising its business segment reporting, anticipating $27.9 billion in revenue from the Productivity and Business Processes unit and $24.04 billion from the Intelligent Cloud segment, which includes Azure. As AI investments remain a focus, Microsoft is also expected to discuss increased spending on property and equipment during its conference call with analysts.
Meta is set to report its Q3 earnings, with analysts expecting earnings per share of $5.25 and revenue of $40.29 billion, reflecting an 18% year-over-year growth. The company's stock has surged nearly 70% this year, bolstered by strong earnings and significant investments in AI, despite concerns over slowing revenue growth. Meta's Reality Labs division continues to face challenges, with high expenses overshadowing sales, but excitement around its Orion AR glasses and Ray-Ban smart glasses may drive consumer interest.
Texas's newest solar farm has a nameplate capacity of 875 MW, with 85% allocated to power Google data centers, raising concerns about the increasing energy demands of AI technologies. At a recent conference in Riyadh, industry leaders warned that electricity use could surge by 40% in the next decade, potentially straining global grids. As tech giants explore nuclear and renewable energy sources, the rush to support data centers may divert resources from meeting the needs of ordinary consumers.
The outcome of the upcoming US election could significantly impact Europe's regulatory stance on big tech, with concerns about corporate dominance and antitrust actions at the forefront. While Biden's administration aligned with EU ambitions to rein in tech giants, uncertainty looms over how a potential Harris or Trump administration would approach regulation, especially given their mixed signals and ties to Silicon Valley. The fate of key antitrust figures like Lina Khan will also be a critical indicator of future transatlantic tech policy.
A finance expert shares insights on wealth-building through consistent investing, inspired by "The Richest Man in Babylon." He reflects on personal milestones, including gifting a Maserati to his mother and his passion for sunglasses, while critiquing divisive political figures and emphasizing the importance of unity and forgiveness in leadership. His life lessons are rooted in family values and resilience, underscoring the significance of managing egos in relationships, whether in music or politics.

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