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- Amazon’s third-quarter earnings, announced Thursday, were a shocker, missing Wall Street estimates.
- The tech giant plummeted in after-hours trading, settling to a 6.1% decline in Friday’s premarket.
- Amazon is set to lose $53.7 billion off its market cap.
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Amazon had a shocker in its latest earnings report, and now it’s set to lose $53.7 billion off its market cap.
The tech giant slid 6.1% in premarket trading Friday, a day after missing Wall Street estimates for its third-quarter earnings, which came in at $4.23 a share compared with the expected $4.62.
If trading opens at the same level, Amazon’s market cap will fall to $827.1 billion from $880.3 billion.
The company did, however, beat estimates on revenue, which was $70 billion compared with estimates of $68.8 billion.
In its report, Amazon said it planned to make one-day shipping the new standard when it came to its Prime delivery service.
Its Amazon Web Services cloud unit saw revenue increase 35% from the same quarter last year to nearly $9 billion.
It wasn’t just Amazon that dropped in value after the earnings shocker, as CEO Jeff Bezos is poised to lose the title of the world’s richest person. His net worth is set to drop to $102.8 billion, placing him second behind Bill Gates, according to Bloomberg, after sliding $8.2 billion.