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Putting Amazon's Amazing $60 Billion Earnings Move Into Perspective

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Putting Amazon's Amazing $60 Billion Earnings Move Into Perspective

A 13.2-percent gain in a single day is a sizable move for a company of any market cap. For a company with a $500 billion market cap, it’s almost unbelievable.

Yet there are plenty of things about Amazon.com, Inc. (NASDAQ: AMZN) that are unbelievable, so maybe the fact that it added $62 billion in market cap in a single day on Oct. 27 after a big third-quarter earnings beat shouldn’t surprise anyone.

It’s hard to put a one-day move like that into perspective, but here’s a few ways to try to wrap your head around Amazon and its incredible earnings pop.

Rare Company

To start off, with a market cap of $535 billion, Amazon is one of only a handful of public companies in the world with market caps of half a trillion dollars or larger. The title of world largest public company still goes to Apple Inc. (NASDAQ: AAPL), but here’s a rundown of Amazon’s other competition:

    1. Apple: $861 billion market cap.
    2. Alphabet Inc (NASDAQ: GOOG) (NASDAQ: GOOGL): $712 billion market cap.
    3. Microsoft Corporation (NASDAQ: MSFT): $647 billion market cap.
    4. Amazon: $535 billion market cap.
    5. Facebook Inc (NASDAQ: FB): $522 billion market cap.

Mega Move

Not only is Amazon’s size impressive, its $62 billion one-day increase in value is also mind-blowing. In fact, Amazon’s increase in value is roughly equal to the entire market cap of some major companies:

  • ConocoPhillips (NYSE: COP): $62 billion market cap.
  • General Motors Company (NYSE: GM): $62 billion market cap.
  • Colgate-Palmolive Company (NYSE: CL): $61 billion market cap.
  • FedEx Corporation (NYSE: FDX): $60 billion market cap.
  • Charles Schwab Corp (NYSE: SCHW): $60 billion market cap.

What Could A Share Of Amazon Buy?

One final way to appreciate Amazon stock’s impressive run is to look at the value of a single share of the stock, which is now above $1,100 per share. Here’s a look at some of the other things $1,100 could buy:

  • A 64 GB iPhone X: $999.
  • A Royal Caribbean Cruises Ltd (NYSE: RCL) cruise from the Gulf Coast to the Bahamas: $1,000.
  • A LG Electronics 60-Inch 4K Ultra HD Smart LED TV: $1,000.
  • Tickets to a private fundraiser dinner with Donald Trump: $1,000.
  • A one-year subscription to Benzinga Pro: $960.

Related Link: What Wall Street Analysts Think About Amazon's Post-Earnings Prospects

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Image Credit: Takashi Hososhima from Tokyo, Japan - A night for two, CC BY-SA 2.0, via Wikimedia Commons

Posted-In: Earnings News Education Guidance Movers Tech General Best of Benzinga

 

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