Posted by & filed under Company Analysis, Growth & Valuation.

Description:  Amazon.com Inc. (AMZN) fell the most in three months after sales missed estimates, signaling that its investments in media services, Kindle devices and shipping promotions have been slow to pay off.

Source: Bloomberg.com

Date: 02/01/2012

Link:  http://www.bloomberg.com/news/2012-01-31/amazon-s-sales-miss-estimates-profit-drops-as-expenses-surge-shares-drop.html

Questions for discussion:

  • Why did the stock value fall?
  • What does the reason suggest about the profitability of the business?

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