Shares of e-commerce giant Amazon.com, Inc. (AMZN) are trading lower in after hours trading despite posting better than expected earnings this afternoon for its fourth quarter.
Going into this afternoon's earnings release, analysts were expecting to see Amazon show earnings of 72 cents per share, on revenues of $9.04 billion in revenues.
Amazon's actual earnings during the quarter were 85 cents per share, on revenues of $9.52 billion.
Earnings were up an impressive 70% from the same period last year when the company reported earnings of 52 cents per share.
The company attributed the surge in earnings to strong holiday sales of media products, electronics and other items.
One piece of information that analysts were looking for which was not provided by Amazon was the number of Kindles that it sold in the quarter. Investors fear that the Kindle is going to come under competition from Apple, Inc. (AAPL)'s new iPad.
Despite the strong earnings report, after hours traders are selling off the stock. Currently AMZN stock is down a little under 1%, after dropping over 6% immediately following the earnings report.
Source: By Michael Fowlkes