Trading Amazon & Google After Earnings

Earnings season for big tech is off to a great start. Both Amazon (NASDAQ: AMZN) and Google (NASDAQ: GOOG) have reported incredible earnings, sending their stocks skyrocketing. Today, we’ll talk about the earnings reports we saw from both companies, how the market reacted to the news, and what binary options traders can do to turn the trends into profits.

google amazon earnings report

Amazon & Google Both Blew Away Expectations

As mentioned above, earnings season is off to a great start for big tech as both Amazon and Google reported incredibly strong earnings. Here’s what we saw…

Amazon Earnings

Earnings Per Share – For the third quarter, analysts expected for Amazon to report a loss of $0.13 per share. However, the company produced a pleasant surprise for investors. In Q3, Amazon actually reported positive earnings at $0.17 per share; $0.30 above analyst expectations.

Revenue – Revenue also came in a bit higher than expected. In the quarter, analysts expected to see revenue come in at $24.91 billion. However, in the quarter, the company reported revenue in the amount of $25.36 billion.

Google Earnings

Earnings Per Share – In the third quarter, analysts expected to see Google generate earnings per share in the amount of $7.21. However, in the quarter, Google generated a positive surprise by reporting earnings at $7.35 per share.

Revenue – Google was also able to beat revenue expectations. While analysts expected to see revenue come in at $18.53 billion for the quarter, the company actually produced $18.68 billion.

How The Market Reacted To The News

Any time positive information comes out with regard to a publicly traded company, we tend to see a positive reaction in the market. That’s exactly what we saw from both Amazon and Google following the release of their earnings reports. In the case of Amazon, the stock climbed more than 10% in early trading. However, throughout the day, the stock settled at $599.03, representing a gain of $35.12 per share or 6.23%. In the case of Google, we also saw an early gain of more than 10%. Throughout the day, the stock settled to end at $702.00 per share, representing a gain of $50.21 or 7.7%.