Amazon Prime Raises Prices, Profits Top Estimates

Amazon Prime Raises Prices, Profits Top Estimates

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Interactive Video

Business

University

Hard

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The transcript discusses Amazon's fourth quarter financial results, highlighting a significant EPS and net sales performance. Despite challenges like inflation and Omicron, Amazon shows pricing power by increasing Prime membership fees. AWS continues to be a major profit driver, with a 40% growth rate. The market reacts positively, with shares rallying despite some missed forecasts. The discussion also touches on Amazon's strategic position and future outlook, emphasizing the importance of AWS in profit composition.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What was the reported EPS for Amazon's fourth quarter?

$27.75

$137.4 billion

$2.43 billion

$3.77

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How did the market react to Amazon's first quarter guidance?

The stock price fell by 5%

The stock price fell by 12%

The stock price remained stable

The stock price rose by more than 12%

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What was the growth rate of AWS in the fourth quarter?

35%

30%

40%

45%

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What percentage of Amazon's profits is attributed to AWS?

90% to 100%

70% to 80%

50% to 60%

20% to 30%

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How much did Amazon's net income increase compared to the previous year?

It increased to $10 billion from $5 billion

It increased to $14.3 billion from $7 billion

It remained the same

It decreased by $1 billion