Amazon stock has been slipping and sliding in response to the online retailer’s latest earnings report.
Last week, Amazon shares fell 10% due to the wider-than-expected loss of $126 million Amazon sustained in Q2 of 2014.
The stock tumble surprised many, as the company still enjoyed a 23% spike in revenue.
“The losses reflect Amazon’s heavy investments in new businesses and services that some investors worry are stretching the Seattle company too thin,” the Wall Street Journal reports. “This year it has released an array of new offerings including a hand-held grocery-ordering device, unlimited e-book rental and streaming services, and its first set-top box and smartphone.”
Unfortunately for Amazon, interest in the company’s long-awaited smartphone — the Fire Phone — hasn’t yet set the smartphone marker ablaze with interest. And until the company’s mobile endeavors result in bigger quarterly paydays, some analysts say Amazon shares could make for a tumultuous investment.
