Option Millionaires

[retiredMM]

AMZN - I'm a little puzzled as to why this stock was so strong a/h. It is currently trading up about $1. The company was in-line or light on Revs and er's depending on who you speak with but they surprisingly guided lower on operating income going forward. Operating margins have shrunk to less than 1% (down 60%) and although net sales increased a respectable 29% the cost of doing that has slashed their margins (60%).

So a company with a top line growth rate of 29% but with earnings compression and a margin rate of under 1% and shrinking is trading with a 270 P/E.

The stock is already up 26% on the year and 12% since the last ER's report far outpacing the index's.

Color me confused!!