Our Interactive Earnings Report Database contains historical quarterly earnings data for more than 5,000 stocks and 140,000 earnings reports going back to 2001. It’s available to subscribers of our highest level of service — Bespoke Institutional — for those of you that would like to use it.
With Amazon.com (AMZN) reporting earnings after the close today, we pulled a snapshot of AMZN’s quarterly reports over the last few years from our Earnings Database to see how it has been reacting recently in terms of price movements. The table below shows AMZN’s quarterly reports going back to January 2014. The right side of the table shows how the stock has gapped at the open the following morning after its evening reports, and how it has traded from the open to the close after its initial post-earnings gap. We’ve highlighted its recent opening gaps following earnings because they’ve been rather extreme. For four consecutive quarters from January 2014 through October 2014, AMZN gapped down more than 6%! That was certainly a rough stretch of earnings reports for Amazon.com. Since the start of 2015, however, AMZN earnings have been hitting it out of the park. In fact, the stock has gapped higher by more than 9% on the morning after earnings five of the last six quarters. The one time it didn’t gap higher, though, was this past January when it gapped down nearly 10% and fell $48.35 for the full day. AMZN did recover nicely last quarter with a gap higher of 10.63%.
You’ll notice a few additional stats at the top of the table. One thing for sure is that AMZN is likely to experience a huge move in one direction or the other. Historically, the stock has averaged a change of +/-9.94% on its earnings reaction days. When the stock has beaten earnings expectations, it has averaged a gain of 6% on its earnings reaction days, and when it has missed earnings expectations, it has averaged a decline of 7.08%.
Holding AMZN into earnings is certainly not for the meek of heart!