Amazon shares tumble after cloud warning
STORY: Amazon said on Thursday (April 27) that its lofty cloud growth would continue to slow.
That as its business customers braced for turbulence and clamped down on spending.
This overshadowed the company's quarterly sales and profit, which both topped expectations.
Amazon's stock initially added about $125 billion in value on its upbeat view of consumer sentiment.
And also on the company holding its own among cloud competitors.
However, the entire gain vanished in a matter of minutes.
This drop in share price followed remarks by the Chief Financial Officer
Who said that cloud customers kept trying to slim down their bills as of the second quarter
And that Amazon was helping them do so to build long-term relationships.
He said that this meant revenue growth rates were about 5 percentage points lower in April than in the first quarter.
The surprise rise and fall indicates a precarious time for the company.
CEO Andy Jassy has aimed to slash spending across many divisions in what he calls an uncertain economy
Simultaneously, Amazon faces a growing threat from cloud rivals Microsoft and Google.