A Bull Market Is Coming: Should You Buy Amazon Stock Now?
Amazon (NASDAQ: AMZN) continues to experience pressure in its operations, and that was borne out again in another mixed earnings report that demonstrated slow growth and falling operating income. Amazon stock fell after the report, but it's up 19% so far in 2023. How can investors interpret mixed signals, and should you buy now before a bull market sweeps in?
A 9% year-over-year sales increase could hardly be called something going significantly wrong. That was above its guidance of 2% to 8% for the 2022 fourth quarter. Operating income of $2.7 billion was above the midpoint of its $0 to $4 billion guidance, although it was down from $3.5 billion last year.
Amazon posted $300 million in net income, a significant drop from last year, and a net loss for the full year. For several quarters, the company's bottom line has been impacted by pre-tax valuation gains or losses related to its investment in Rivian Automotive, making this metric less valuable as a measure of how well Amazon is operating.
Source Fool.com
