Not All Retailers Are Struggling
The retail sector has been performing very poorly over the last year. The problems in the credit market have had a huge impact on the spending habits of consumers, and retailers have struggled as a result. Declining sales and rising costs. Not exactly the recipe for profitability.
Despite the general downturn in retail business, one online retailer continues to grow. Amazon.com (AMZN) reported second-quarter results on July 23, and they beat estimates handily.
Analysts were expecting Amazon to earn $0.26 per share… and the company reported earnings of $0.37. Revenues nearly doubled from the same period last year.
AMZN has been stuck between $61 and $97 for the past 15 months, but appears to be heading toward the upper end of that range on this news. With solid support at $61 and momentum to the upside, AMZN deserves a spot in your portfolio. If the company continues to grow revenues and earnings at this pace, the $97 resistance point should be overtaken.
[Ed. Note: Knowing which stocks to invest in - and which to avoid - can be overwhelming. Especially if you're new to the investing game. That's where investment analyst Rick Pendergraft comes in. He's got an embarrassing secret that can help you make money. Learn more here.]
Similar Articles:
- Commodities Falling, but Prices Are Not - Commodity prices (especially oil, gold, and silver) have been falling sharply since July 15. Unfortu…
- The Price-to-Earnings Ratio - I often talk about a stock’s P/E or price-to-earnings ratio in my articles for ETR. While P/E may be…
- Fantasy Value Can Lead You Down the Wrong Path - If you like to buy companies on the cheap - like I do - you probably look at their P/Es. That’s fine…
- Why Most Expensive Stocks Are Rip-Offs - Many investors swear by the "efficient market theory." All it means is that through the ma…
- Is Housing Rebounding? - The April Housing Starts report showed a surprising 8.2 percent increase. This is somewhat encouragi…
- Even in a Bear Market, Not All Sectors Are Down - Last year, eight out of 10 major sectors went up. The reverse is happening this year. Eight out of t…
- It’s Good to Know: HDTV Rip-Off Update - Just before the holidays, I wrote about avoiding paying $50 to $100 for "monster" cables w…