Amazing, estimates fell even more than I expected. I expected yearly consensus to drop to around $1.10, now, analysts cut all the way down to $0.89 !
That was quick. I guess the analysts did read the guidance.
I think the key might be the now 56 cent 4th qtr estimate which would replace the 38 cents the company earned in 4Q/2011.
I can't see how the company gets a pass if they miss that...but who would have thought the company would have gotten all this year's passes.
Scamazon will be lucky to break-even 4th quarter.
1. Full implementation of CA and TX sale taxes.
2. R&D and tech support for FIRE and other tablets.
3. Intense competition with GOOG, MSFT, IBM, and HP in cloud services.
4. Nexus 7 and the Mini Ipad.
5. Higher cost of shipping/warehouse/automation.
6. Lack-luster interest in HDTV (Panasonic and Sony are bleeding red ink).
None of these factors will go away in 2013 and future years.
"I'll be ready when the income statement reads "$billions in profit". "
did you "copy and paste" this from one of you posts years ago? you were anticipating billions in profit right now. Guess if you count retinaed earnings of $2 billion over the life of the company while paying out no dividends as billions, but I don't think you meant the aggregate but the annual. YOu are dealing with a 50 market cap/retained earnings multiple. So when's the catchup coming to yesteryear's forecasts?
But analysts have cut estimates before. Which is more of an admission they blundered on the previous estimates and has nothing to do with the company.
Still, how did this help shorts? Isn't the stock up higher now than when the last estimates were cut?
this constant cutting has been very bullish for "Peter Pan/Tinkerbell" investing as the visions for profit gain % from these cuts will be astronomical right? And of course ,"beat the earnings pennies" buyers will have field day. Nifty Fifty on steroids . lol!