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The most significant piece of information, in my opinion, is that this is the first time that Amazon has broken out advertising services. This disclosure might

The most significant piece of information, in my opinion, is that this is the first time that Amazon has broken out advertising services. This disclosure might be contributing to their stock performing well after hours, given their guidance miss. Advertising grew 32% year over year to $9.7 billion during the quarter, which puts them third after Google ($61.2 billion) and Facebook ($28.3 billion).

gpt5 5y ago
To be fair, everyone knew that Amazon's "Other" category was almost entirely advertising in previous reports. I think that the market is happy for three reasons: 1. Algorithms misreading the high earnings ($11.8B out of the $14.2B is just a Rivian accounting adjustment). 2. AWS experiencing 40% YoY growth (accelerating QoQ for a while, while both Azure and Google Cloud are decelerating). 3. Advertising doing well.
- granzymes 5y ago
  >To be fair, everyone knew that Amazon's "Other" category was almost entirely advertising in previous reports. This is true.
- vasili111 5y ago
  > while both Azure and Google Cloud are decelerating Could you please provide the links?
  - gpt5 5y ago
    Check their quarterly reports. Azure YoY Growth: Q2: 51% Q3: 50% Q4: 46% Google Cloud YoY growth: Q2: 53% Q3: 45% Q4: 45% AWS YoY Growth: Q2: 37% Q3: 39% Q4: 40%
manquer 5y ago
Forward looking guidance is made by the company for the next quarter in the current quarter. Missing guidance means that company which lot of visibility into its sales and operations had unanticipated changes to its operations and that is generally bad. Analysts estimates are made by Wall Street predicting performance of the company without insider info (in theory), top analysts generally get access to companies they cover while company management are not supposed to disclose any material non public information in such meetings, even when following the law to letter lot of indirect information would become available, Matt Levine has written often on Regulation FD [1] . The point is estimates have some basis in fact and information as well. [1] https://www.bloomberg.com/opinion/articles/2021-03-09/sec-goes-after-analyst-foreshadowing https://www.bloomberg.com/opinion/articles/2021-03-09/sec-go...

gpt5 5y ago

To be fair, everyone knew that Amazon's "Other" category was almost entirely advertising in previous reports. I think that the market is happy for three reasons: 1. Algorithms misreading the high earnings ($11.8B out of the $14.2B is just a Rivian accounting adjustment). 2. AWS experiencing 40% YoY growth (accelerating QoQ for a while, while both Azure and Google Cloud are decelerating). 3. Advertising doing well.

granzymes 5y ago
>To be fair, everyone knew that Amazon's "Other" category was almost entirely advertising in previous reports. This is true.
vasili111 5y ago
> while both Azure and Google Cloud are decelerating Could you please provide the links?
- gpt5 5y ago
  Check their quarterly reports. Azure YoY Growth: Q2: 51% Q3: 50% Q4: 46% Google Cloud YoY growth: Q2: 53% Q3: 45% Q4: 45% AWS YoY Growth: Q2: 37% Q3: 39% Q4: 40%

manquer 5y ago

Forward looking guidance is made by the company for the next quarter in the current quarter. Missing guidance means that company which lot of visibility into its sales and operations had unanticipated changes to its operations and that is generally bad. Analysts estimates are made by Wall Street predicting performance of the company without insider info (in theory), top analysts generally get access to companies they cover while company management are not supposed to disclose any material non public information in such meetings, even when following the law to letter lot of indirect information would become available, Matt Levine has written often on Regulation FD [1] . The point is estimates have some basis in fact and information as well. [1] https://www.bloomberg.com/opinion/articles/2021-03-09/sec-goes-after-analyst-foreshadowing https://www.bloomberg.com/opinion/articles/2021-03-09/sec-go...