E-commerce giant Amazon.com (NASDAQ:AMZN) reported third quarter earnings after the bell Thursday, missing analyst expectations. Shares fell sharply in after hours trading, falling 10% within the first half hour.
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The company reported a loss of $437 million or 95 cents per share, greater than the 74 cents per share that Wall Street was expecting. Revenue came in at $20.6 billion, beneath estimates of $20.8 billion.
CEO Jeff Bezos voiced optimism, stating that as Amazon gets “ready for this upcoming holiday season, we are focused on making the customer experience easier and more stress-free than ever,” said his statement.
The company made headlines recently when it said it plans to open up its first brick-and-mortar store in New York City. Some are expecting they will open more showrooms as the company develops more same-day delivery facilities.
Google (GOOGL) Executive Chairman Eric Schmidt recently made headlines when he told a crowd in Berlin that he views Amazon as their biggest competitor. “They are obviously more focused on the commerce side of the equation, but, at their roots, they are answering users’ questions and searches, just as we are.”
Chinese e-commerce giant Alibaba (BABA) is also a competitor of Amazon, especially as it looks to gain traction outside of China. The company recently completed the largest IPO ever and listed in the United States.
Amazon shares are down 21% year-to-date and closed Thursday at $313.18. The company has a market cap of $144 billion.