CHESSNOID

I actually like this stock.  After the dot com bubble burst 6-7 years ago, this was one of the stocks I invested in through dollar cost averaging all the way up until last year.  This stock had given me substantial returns on my investment. I still love this stock and buy goods from the site all the time.  Well, I use to until the recession kicked in harder.  There were and still are great deals to be had at that site.

Today, they came out with their earnings which beat 3rd quarter estimates but had to give estimates about their future.  I don’t think any company can put realistic goals of better or continued good numbers. 

Amazon Q4 view below Street, shares fall 15 pct:

SAN FRANCISCO, Oct 22 (Reuters) – Amazon.com Inc (AMZN.O: Quote, Profile, Research, Stock Buzz) on Wednesday posted a 48 percent rise in quarterly net income, but gave a revenue forecast for the holiday quarter that fell short of Wall Street expectations, and its shares fell 16 percent.

The online retailer, which has cut prices to spur sales in the weak U.S. economy, posted third-quarter net income of $118 million, or 27 cents per share, up from $80 million, or 19 cents per share, a year earlier. Revenue rose to $4.26 billion.

Wall Street analysts, on average, had been expecting earnings of 25 cents per share on revenue of $4.28 billion, according to Reuters Estimates.

Net sales for the fourth quarter, including the crucial holiday period, are expected to range from $6.0 billion to $7.0 billion, or growth of 6 percent to 23 percent, with operating income estimated at $145 million to $305 million.

I know Google and Apple did put out more positive future earnings estimates, but I personally don’t believe them.  Of course, no one knows the future and anything is possible.  However, I base my information on what I see around me.  I am a little bit of a doom and gloom type of guy right now because things really seem to be that way when it comes to the economy.  There is no denying the state of our recession unless you are Bush, Bernanke, and Paulson.

As of today, we still have increasing number of foreclosures, increasing number of layoffs, and increasing number of stores (both online and physical locations) closing.  I don’t expect it to decline in the near future, so I extrapolate that these people will not have money to spend at Amazon, Google, or Apple.  That makes sense right.  I think Google and Apple may be too optimistic about their loyal fan base keeping them afloat by buying their goods and services even if their supporters have no money.  That’s my 2 cents.