Here's the headline: misses earnings forecast; downbeat on guidance; shares jump after hours. P/E earlier in the day: 80. P/E now at 3,099 according to Yahoo!Financial.
Profit margin is 0.07% (about the same as the forecast rise in global temperature over the next 100 years).
No debt. No dividend.
King of the Road, Roger Miller
Amazon?
ReplyDeleteYup. Amazing, isn't it?
DeleteAnd people debate whether to invest in companies like Valero, popping 13% in after-hours tonight.
I saw AMZN poppinng after hours and thought they beat significantly...then I read the release that they missed on both top and bottom line, plus guided down. Reminds me of the way they acted just before the tech bubble burst. I'd like to short them, but as someone once said, "The market can stay irrational longer than you can stay solvent."
ReplyDeleteYes, I don't think I've seen a worse report: as you noted -- missed on both top and bottom lines, and guided down, and then the stock surges after the initial drop.
DeleteAnd to think Apple plunged after a record quarter, pays a dividend, no debt, and has $130 billion in cash. And if one doesn't like AAPL (or even hate AAPL), there's XOM and half a dozen other incredible energy companies.
I think folks are forgetting some of the basics of investing: don't fall in love with your stocks.
This is one of a hundred random google hits saying the same thing:
http://www.michaelsincere.com/home/105-lesson-dont-fall-in-love-with-a-stock