Latest News

: Amazon closes below $1 trillion valuation for the first time since 2020

0

The swift recent decline in Amazon.com Inc.’s stock could bring the company’s closing market value below $1 trillion for the first time in more than two years.

Amazon shares
AMZN,
-5.26%

are down 5.4% in midday action Tuesday and on track to close with a market value of $997 billion if those losses hold through the end of the trading day. If Amazon does end with a sub-$1 trillion valuation, that would mark the first time since April 6, 2020 that Amazon closed out of trillion-dollar territory, according to Dow Jones Market Data.

The stock needs to finish lower than $98.023 for its closing market value to dip below $1 trillion, per Dow Jones Market Data.

Amazon’s valuation is set to close below a milestone not seen since 2020.

Dow Jones Market Data

Amazon shares are set to tumble 18.89% over the most recent five-session stretch of current losses carry through to the close. That five-day decline would mark Amazon’s worst five-day loss since shares fell 19.50% during the period that ended May 5. And that loss was the worst five-day decline for Amazon since its 22.03% plunge during the period that ended Nov. 20, 2008.

The e-commerce giant has come under recent pressure after the company’s latest earnings report highlighted a slowdown in AWS cloud-computing revenue growth. Additionally, Amazon disappointed with the forecast it offered for the holiday quarter.

“Combined with wobbles on revenue momentum for both AWS and Retail, and suddenly the Amazon hiding place doesn’t look good,” Bernstein analyst Mark Shmulik wrote following Amazon’s Thursday afternoon earnings report. “The good news here is that the story isn’t broken, it’s just pushed out into 2023 while Q4 may get worse before it gets better.”

When looking at companies worth more than $200 billion, Amazon is currently closest to seeing its stock hit its pandemic-era low, according to Dow Jones Market Data. Amazon shares recently changed hands at $97.75, 16.6% above their pandemic low of $83.83. Only shares of Meta Platforms Inc.
META,
+3.71%

have actually plunged below their pandemic low, among this grouping of the largest U.S. companies.

Market Extra: What midterms mean for the stock market’s ‘best 6 months’ as favorable calendar stretch gets under way

Previous article

: How Russia’s war in Ukraine helped the FBI crack one of the biggest cybercrime cases in years

Next article

You may also like

Comments

Leave a reply

Your email address will not be published. Required fields are marked *

More in Latest News