Amazon.com’s Accounting Pornography

I wrote the following analysis on Amazon.com’s GAAP accounting manipulation for Seeking Alpha… Amazon.com (AMZN) released its earnings on Thursday, February 1st after the market closed. The headline net income number was $3.85/share. This blew away Wall Street’s estimate of $1.85/share, which is a bit peculiar since the traditional “beat the Street” earnings game is … Continue reading Amazon.com’s Accounting Pornography

Amazon’s Shock And Awe Earnings

Yesterday ahead of earnings, AMZN’s stock dropped $60, with $30 of that drop occurring in the last hour of trading.   It’s almost as if market-makers, with their customary preview of the impending AMZN headline EPS report in hand,  intentionally took the price down to set-up a short-trap.  AMZN stock closed at $1390, down $60 from … Continue reading Amazon’s Shock And Awe Earnings

The Truth Behind Amazon’s Reported Earnings

This article below is from my Seeking Alpha post earlier this week.  I’ve studied AMZN’s financials and business model for several years. I’m probably one of the few analysts who bothers to scour the footnotes of AMZN’s financials. I was taught by the best at University of Chicago to start with the footnotes and work … Continue reading The Truth Behind Amazon’s Reported Earnings

A Conversation About Tesla, Amazon and Gold

Allegedly (note: emphasis on “allegedly”) Craig “Turd Ferguson” Hemke was awarded a Nobel Prize for his weekly A2A podcast.  If true, the award is more legitimate than the Nobel Peace Prize given to Obama and the Nobel Prize for Economics given to Paul Krugman.  Perhaps those latter two folks should have been awarded the Nobel Price … Continue reading A Conversation About Tesla, Amazon and Gold

Amazon: The Devil Is In The Details

Jeff Bezos/Amazon is the poster-child for the degree to which this entire economic and political system is profoundly corrupt. – Investment Research Dynamics Amazon stock made a big after-hours “shock and awe” move after it reported a huge headline “beat” of its Q3 earnings.  It’s a funny thing how the “beat the Street” game works.  … Continue reading Amazon: The Devil Is In The Details

The Accounting Ponzi Scheme Is Catching Up To Amazon

“‘Faith’ is defined as “belief without evidence.” AMZN is a stock investment that thrives on investor faith. Investor greed transforms into irrational faith when the faith is rewarded with stock gains. This will ultimately burn out but it’s impossible to predict timing. The stock is trading at 178x TTM net income. This is an insane multiple for … Continue reading The Accounting Ponzi Scheme Is Catching Up To Amazon

Netflix And Amazon: Case Studies In Accounting Games

Over the time since I started the Short Seller’s Journal, several subscribers have asked about Netflix (NFLX). For some reason I have refrained from presenting it as a short idea, instead choosing AMZN and TSLA as my insanely overvalued “tech poison” short-sell ideas. However, knowing that NFLX was reporting this week, I decided what if – and … Continue reading Netflix And Amazon: Case Studies In Accounting Games

Amazon Prime Day! What Does This Mean?

Amazon stock is up $6 in pre-market trading because it’s…”Prime Day!”  But what does this really mean?  It means AMZN will burn more cash selling and fulfilling commodity products with free 2-day shipping. But it will likely get another $20 pop in its stock because “Prime Day” revenues today will grow X% over 2016’s “Prime … Continue reading Amazon Prime Day! What Does This Mean?

Short All Retail, Especially Amazon

“Bubbles require ever more money to sustain them. Currently that’s not happening. A severe market selloff could come at any moment.” The quote above is from Fred Hickey, who writes the The High-Tech Strategist newsletter. Mario Draghi, Chairman of the ECB, is under pressure to reduce the Central Banks’ asset purchases (it’s buying corporate bonds, … Continue reading Short All Retail, Especially Amazon