07-27-2012, 02:43 PM
Amazon hit quite the home run today. +7.5% when I look at it right now. I keep waiting for a good dip so I can get back in but they just keep going up.
According to analysts, the market liked the higher gross profit margin -- apparently their highest in 7 years. So even though their EPS is low and the P/E is ridiculously high, I guess people are liking the way the profit numbers are headed.
Apparently it's Amazon's 3rd party seller section that's pushing higher profits, which is interesting. 3P is one of my least favorite Amazon features and I try to avoid them whenever possible -- it's basically eBay. On the other hand, 3P sales are one of the reasons I can go to Amazon and find whatever I'm looking for 99% of the time. I bought a replacement battery for an old UPS off of Amazon from a 3rd party seller recently. It was just battery store in Oklahoma or something, selling through Amazon. Had they not been listed there I would have had to troll the internet for them.
According to analysts, the market liked the higher gross profit margin -- apparently their highest in 7 years. So even though their EPS is low and the P/E is ridiculously high, I guess people are liking the way the profit numbers are headed.
Apparently it's Amazon's 3rd party seller section that's pushing higher profits, which is interesting. 3P is one of my least favorite Amazon features and I try to avoid them whenever possible -- it's basically eBay. On the other hand, 3P sales are one of the reasons I can go to Amazon and find whatever I'm looking for 99% of the time. I bought a replacement battery for an old UPS off of Amazon from a 3rd party seller recently. It was just battery store in Oklahoma or something, selling through Amazon. Had they not been listed there I would have had to troll the internet for them.