Everybody’s A-Buzz About Amazon Tanking

on Friday, Jul. 25th

Amazon, the online retailing giant, saw their stock drop as much as 10% after a weak earnings call yesterday. This came on the heels of other bad news: the smartphone that CEO Jeff Bezos sunk so much of the company’s R&D money into has been universally panned as a dud.

Could it be that the bloom is finally off the Amazon rose? This after years of the company being rewarded by Wall Street for operating at a loss?

Eh, not necessarily.

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This isn’t even the first big drop that Amazon has experienced on the market this year. While it is true that the narrative in the tech and business press is shaping up to be “Amazon has spread itself too thin” the stock will have to keep on falling for this to be anything more than your usual post-earnings call profit taking.

The thing to watch is this: will Amazon keep pushing into the hardware space, or has Bezos lost his appetite for making craptronics?

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