Big tech earnings do little to please investors
October 30, 2020 - The combined revenue of the Big Four tech companies came in at $228.24 billion last quarter, but has done little to please investors.
Amazon, Apple, Google's parent company, Alphabet, and Facebook earned a combined $228.24 billion in the last quarter – Q3 by calendar but Q4 in Apple's fiscal year.
Revenues were large as expected, although investors were mostly disappointed. Here's why:
Amazon – Revenue of $96.15bn. Pandemic-fuelled buying is leading to greater sales, but increased costs – up $2.5bn.
Apple – Revenue of $64.70bn. Shares fell on news that iPhone sales in China have slumping by 29%.
Alphabet – Revenue of $46.17bn. Despite advertising spending on Google and YouTube being up, its shares have only risen 16% in 2020, whereas the average rise of the other three firms is 56%.
Facebook – Revenue of $21.22bn. Strong growth in Q3, but company is cautious of possible regulatory hurdles ahead, no matter who wins the U.S. election.
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