Diamonds and Dogs

2/2/18

Amazon (AMZN) is one of the few stocks trading higher today. Amazon is up 5% to new highs and up 50% in the last two and a half months following earnings. The E-commerce giant blew away earnings last night reporting $3.75 a share more than double the $1.85 analysts' expectations. Net income was $1.9 billion for the quarter and $3 billion for the full year. Net quarterly sales grew to a massive $60.5 billion, up 38%, beating expectations. Plenty of upgrades from the likes of Monness Crespi & Hardt with a $2000 target, Needham raised its target to $1700, Stifel raised its target to $1800 while two other analysts came in with price targets of $1750 and $1650.

Plenty of stocks are lower following earnings including tech giants Apple and Google. But Exxon Mobil (XOM) is the dog down 5% back to where it started the year following disappointing earnings. The world's largely publicly traded integrated energy company missed expectations by 15 cents as revenue rose 9.0% year over year to $66.52 billion. Exxon plans on investing over $50 billion in the U.S. over the next five years to increase production of profitable volumes and enhance their integrated portfolio, but investors are not pleased with the results.