Better Earnings: Apple vs. Amazon

The following video is part of our "Motley Fool Conversations" series, in which consumer goods editor and analyst Austin Smith and senior technology analyst Eric Bleeker discuss topics across the investing world.

In today's edition, Austin and Eric debate which tech darling had better earnings, Amazon.com or Apple. Both stocks absolutely crushed analysts' expectations, with Apple selling absurd amounts of iPhones and Amazon's revenue jumping 34%. Austin thinks on a per-quarter beat that Amazon's performance is more impressive, but that the implications of Apple's sales in light of the company's ridiculous size makes a more impressive long-term story here.

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Austin Smith has no positions in the stocks mentioned above. Eric Bleeker has no positions in the stocks mentioned above. The Motley Fool owns shares of Apple, Amazon.com, Best Buy, and Google. Motley Fool newsletter services recommend Amazon.com, Apple, and Google. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


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  • Report this Comment On April 30, 2012, at 3:34 PM, luxetlibertas wrote:

    I really cannot believe that a paltry quarterly $0.21 beat on a share price of about $200 would be considered on an even equal footing as Apple's $2.26 beat on a share price of less than $600

    And then we can talk about those analyst estimations themselves: The expectations for amazon were very modest, calling for a negligible profit to begin with, and much worse than the year ago. Even the actual, better, amazon profits were essentially negligible.

    Apple's profit (and revenue) projections on the other hand were were very bullish indeed and much higher than the previous year. The amout of money earned was significant indeed.

    So the above conversation is total nonsense, and beside the point. The factors driving the valuations of these two companies are not mentioned at all.

  • Report this Comment On May 01, 2012, at 3:00 PM, Thuddd wrote:

    Apple's net last quarter is just about equal to Amazon's revenue for the quarter. Questions?

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