Amazon results fell short of expectations, despite growth in holiday shopping and its cloud services business. Stocks rose in Thursay’s trading session. Bobbi Rebell reports.
Amazon earnings miss; stocks rise
Amazon reporting earnings that fell short of expectations after the market close on Thursday, despite a 22 percent rise in revenue in the holiday quarter. The stock fell dramatically on that news.
Microsoft earnings beat forecasts, driven in part by strength in their cloud business.
A choppy session with oil regaining the upperhand by the closing bell. Oil prices rose on Thursday on speculation that OPEC countries would cut output, and the subsequent rise in energy stocks offset the drop in biotech stocks.
Jeff Tomasulo of Vespula Capital:
SOUNDBITE: JEFF TOMASULO, CEO, VESPULA CAPITAL (ENGLISH) SAYING:
“When you have uncertainty in the markets, that’s where volatility increases.”
Under Armour’s shares soared. Strong demand for “athleisure” apparel drove the sportswear maker’s revenue sharply higher.
Facebook’s market value surged after reporting blockbuster results. Nearly two dozen analysts raised their price targets on the social networking company.
EBay’s shares plummeted. A strong dollar hurt overseas sales, and the online auction site issued a weak forecast amid a fierce battle with Amazon.
Mixed economic news: New orders for durable goods dived sharply in December, and pending home sales barely rose. But the number of people filing jobless claims fell last week.
Healthcare stocks also went south in Europe, pushing shares down.