EARNINGS-Amazon's holiday-quarter sales forecast misses estimates, shares fall 8%
Adds shares, compares with estimates, details
Oct 24 (Reuters) - Amazon.com Inc AMZN.O forecast fourth-quarter revenue well below analysts' estimates on Thursday as the world's biggest online retailer faces fierce competition from Walmart WMT.N as well as other online retailers, sending its shares down 8%.
The company forecast net sales in the range of $80.0 billion to $86.5 billion for the crucial holiday quarter. Analysts were expecting revenue of $87.37 billion, according to IBES data from Refinitiv.
The downbeat outlook reinforces worries that the ongoing U.S.-China trade spat is hurting the U.S. retail industry. Holiday sales typically generate a majority of retailers' sales and profit.
Amazon also said it expects current-quarter operating income to be between $1.2 billion and $2.9 billion, while analysts were expecting $4.19 billion, according to research firm FactSet.
Net sales rose to $69.98 billion from $56.58 billion in the third quarter ended Sept. 30, beating estimates of $68.81 billion, according to IBES data from Refinitiv.
The company's net income fell to $2.13 billion, or $4.23 per share, during the quarter, from $2.88 billion, or $5.75 per share, a year earlier.
Analysts were expecting a profit of $4.62 per share, according to IBES data from Refinitiv.
(Reporting by Akanksha Rana in Bengaluru and Jeffrey Dastin in San Francisco Editing by Saumyadeb Chakrabarty)
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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