Amazon Has an Amazing Quarter
For the first time ever, Amazon.com Inc. raked in more than $2 billion in profit, on the back of solid performance of its cloud computing services and its advertising business.
Earning $2.5 billion in Q2 2018, the e-commerce giant delivered its third consecutive quarter of ‘$1 billion- and-over' profit – thereby vindicating the firm’s long held invest-more-to-grow-more strategy. Amazon’s Q2 profits marked a massive climb from the year-ago period’s $197 million.
A key driver of the company’s solid performance was its cloud computing segment, Amazon Web Services, which generated $6.1 billion in sales – a 49% surge compared to the same quarter a year ago. Amazon’s cloud division has a fatter margin compared to the firm’s core retail segment.
Another trump card for Amazon turned out to be its “other” segment - (mainly consisting of the firm’s relatively new advertising business) which grew at around + 130% year-over-year to produce $2.2 billion revenues in Q2.
The company has also been aiming to boost profits of its retail business by cutting jobs and focusing on automation.
The company’s overall sales came in at $52.9 billion for the quarter, a year-over-year increase of 39% (slightly less than Wall Street estimates).
GOOG sees its 50-day moving average cross bullishly above its 200-day moving average
The 50-day moving average for GOOG moved above the 200-day moving average on May 03, 2023. This could be a long-term bullish signal for the stock as the stock shifts to an upward trend.
Technical Analysis (Indicators)
Bullish Trend Analysis
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where GOOG advanced for three days, in of 346 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 320 cases where GOOG Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The 10-day RSI Indicator for GOOG moved out of overbought territory on June 07, 2023. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 48 similar instances where the indicator moved out of overbought territory. In of the 48 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 71 cases where GOOG's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
The Momentum Indicator moved below the 0 level on June 07, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on GOOG as a result. In of 97 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for GOOG turned negative on June 02, 2023. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 49 similar instances when the indicator turned negative. In of the 49 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where GOOG declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
GOOG broke above its upper Bollinger Band on June 06, 2023. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. GOOG’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 93, placing this stock better than average.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (5.984) is normal, around the industry mean (21.660). P/E Ratio (27.322) is within average values for comparable stocks, (41.639). Projected Growth (PEG Ratio) (1.525) is also within normal values, averaging (3.365). Dividend Yield (0.000) settles around the average of (0.023) among similar stocks. P/S Ratio (5.631) is also within normal values, averaging (9.533).
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a holding company with interests in software, health care, transportation and other technologies
Industry InternetSoftwareServices
GOOG and
Correlation & Price change
A.I.dvisor indicates that over the last year, GOOG has been closely correlated with GOOGL. These tickers have moved in lockstep 100% of the time. This A.I.-generated data suggests there is a high statistical probability that if GOOG jumps, then GOOGL could also see price increases.
| Ticker / NAME | Correlation To GOOG | 1D Price Change % | ||
|---|---|---|---|---|
| GOOG | 100% | -3.85% | ||
| GOOGL - GOOG | 100% Closely correlated | -3.78% | ||
| SPOT - GOOG | 69% Closely correlated | -3.08% | ||
| META - GOOG | 65% Loosely correlated | -2.76% | ||
| PINS - GOOG | 60% Loosely correlated | -1.14% | ||
| ZG - GOOG | 58% Loosely correlated | -1.89% | ||
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