Q3 Earnings Frenzy: Amazon (AMZN), Intel (INTC) & More
Q3 earnings results for Amazon AMZN are out following today's closing bell, posting a mixed quarter and weaker-than-expected Q4 revenue guidance. Earnings of $4.23 per share came in well under the $4.46 expected (not to mention $5.75 per share reported in the year-ago quarter), but this was on better revenue results in the quarter: $69.98 billion versus $68.67 billion analysts were looking for. Guidance for Q4 earnings tightened to a range of $80-86 billion; the Zacks consensus had been for $86.88 billion.
It's the second-straight miss and third in the last 10 quarters for Amazon, though quarterly earnings is never the main story for investors in Amazon. Amazon Web Services (AWS), the money fuel for the company's vast array of services, brought in $9 billion for the quarter, up 35% year over year. But this has not kept late-traders from selling shares to the tune of 9% in after-hours. This is bringing Amazon shares down to levels not seen since March of this year.
Intel Corp. INTC, on the other hand, was its usual consistent self in its Q3 earnings report, posting a solid beat of $1.48 per share versus $1.24 expected ($1.28 per share reported in the previous-year quarter). Revenues of !19.19 billion easily surpassed the $18.03 billion analysts were expecting. Data Center revenues grew an impressive $6.4 billion in the quarter, up from the $5.6 billion anticipated. PC sales were also better than expected. Intel has not posted a negative earnings surprise since Q4 of 2013. Shares had initially spike 7% on the news, but have subdued down to 5.8% at this hour. For more on INTC's earnings, click here.
Biopharma giant Gilead GILD came in mostly even on its Q3 report, posting earnings of $1.75 per share which missed the Zacks consensus by a penny, while $5.6 billion in sales was directly in-line with top-line forecasts. Guidance for the current fiscal year pulled back, however, to a range of $21-22.1 billion; our analysts had figured $22.29 billion. HIV treatment sales were also in-line at $4.2 billion, while Hep-C treatment missed expectations of $729 million, coming in at $674 million. For more on GILD's earnings, click here.
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
Click to get this free report
Amazon.com, Inc. (AMZN): Free Stock Analysis Report
Gilead Sciences, Inc. (GILD): Free Stock Analysis Report
Intel Corporation (INTC): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research