Amazon.com (NASDAQ: AMZN ) is one of the many tech companies expected to report lower earnings this month than it did a year earlier.
Investors are cool with that. The market realizes that the leading online retailer is investing in its thriving Kindle and Amazon Prime ecosystems, and these are costly endeavors that won't pay off right away. In his annual letter to shareholders earlier this month, CEO Jeff Bezos took pride in pointing out that the company will do what's right by its customers, even if it's not in the best interest of its current financials.
In this video, Rick takes a look at three things that investors will want to watch as Amazon reports on April 25. The e-tailer is trading near its all-time high despite missing Wall Street's profit targets in each of the past three quarters, so Rick explores what will ultimately move the stock higher or lower after the numbers go out.
Everyone knows Amazon is the king of the retail world right now, but at its sky-high valuation, most investors are worried it's the company's share price that will get knocked down instead of competitors'. The Motley Fool's premium report will tell you what's driving the company's growth, and fill you in on reasons to buy and reasons to sell Amazon. The report also has you covered with a full year of free analyst updates to keep you informed as the company's story changes, so click here now to read more.