Brendan McDermid/Reuters
Amazon’s shares dropped almost 20% after the company forecasted lighter than expected fourth quarter sales.
Amazon’s third quarter results came closer to analysts’ expectations.
The tech giant posted an operating income of $2.5 billion, down from $4.9 billion in third quarter 2021.
Amazon couldn’t save Big Tech.
The ecommerce king’s shares were down more than 18% after hours following the company’s announcement that fourth-quarter sales will be well below the current Wall Street consensus.
Amazon said it expected fourth-quarter sales of $140 billion to $148 billion, below analysts’ view of $155.37 billion. It also said operating income would be between a wide range of breakeven and $4 billion, also under Street expectations.
The company’s third-quarter results for the quarter ended September 30 were closer to what analysts were expecting: it posted operating income of $2.5 billion on sales growth of 15% year over year to $127.1 billion.
Shares of Amazon were down nearly 19% in recent after-hours trading to $89.86. Its report follows similar glum outlooks this week from Meta and Alphabet.
This is a developing story; please check back for updates.