Author Archives: Scalper1

Amazon.com Shutters Flash-Sale Fashion Site MyHabit

E-commerce leader  Amazon.com ( AMZN ) is shutting down fashion flash sale e-tail website Myhabit.com, first reported by  Women’s Wear Daily  and confirmed by Amazon. The website’s employees were told Thursday morning that the site would shut down at the end of May, WWD reported. In a statement, Amazon said, “Fashion is one of Amazon’s fastest-growing categories. As we continue to increase our breadth of selection and improve the customer experience on Amazon.com, we have decided to simplify our offering and will be closing MyHabit at the end of May. “Our customers can now shop from Amazon Fashion’s incredible assortment of brands across clothing, shoes and accessories — backed by award-winning service, free shipping and returns, and exclusive benefits for Prime members.” Analysts have told IBD that apparel has not been a strong category that Amazon. Alibaba ( BABA )-backed Shoprunner — an e-tail site — has told IBD that one of the ways to compete with Amazon.com’s market dominance is to find categories where the firm is not strong. In-season, branded apparel is one such category, Shoprunner spokespersons said. Amazon.com stock fell a fraction Thursday, to 631. The company has a good IBD Composite Rating of 85, where 99 is the highest. The IBD Leaderboard stock is 4.6% extended, and thus at the high end of the buy range, from a cup-with-handle breakout at a 603.34 buy point, and is near a secondary buy point, at 638.16.

Microsoft Misses March-Quarter Views On Sales, Earnings

Microsoft ( MSFT ) late Thursday reported fiscal third-quarter sales and earnings that missed Wall Street’s targets, prompting investors to sell off shares of the software giant. The Redmond, Wash.-based company earned 62 cents excluding items, flat with the year-earlier quarter, on sales of $22.08 billion, up 2%, in the quarter ended March 31. Analysts polled by Thomson Reuters expected 64 cents EPS and $22.09 billion in sales. Microsoft stock was down more than 3% in after-hours trading, following the earnings release. During the regular session, Microsoft rose a fraction to 55.78 on the stock market today . Microsoft stock had been trading just below its all-time high of 56.85, reached on Dec. 29. Microsoft was scheduled to give current-quarter guidance on a conference call with analysts later Thursday. For the June quarter, Wall Street was modeling for Microsoft to earn 66 cents a share, up 10%, on sales of $23.04 billion, up 4%. Investors have been upbeat over Microsoft’s transition from desktop software to Internet cloud computing services, such as Azure, Office 365 and Dynamics CRM Online. Microsoft’s commercial cloud business in Q3 reached an annualized revenue run rate of over $10 billion. “Organizations using digital technology to transform and drive new growth increasingly choose Microsoft as a partner,” Microsoft CEO Satya Nadella said in a statement. “As these organizations turn to us, we’re seeing momentum across Microsoft’s cloud services and with Windows 10.” Under generally accepted accounting principles (GAAP), Microsoft reported earnings per share of 47 cents, down 23% year over year, on sales of $21.73 billion, down 6%. Microsoft’s non-GAAP results included a $1.5 billion revenue deferral primarily related to Windows 10. Excluding the impact of foreign exchange rates, Microsoft’s sales would have been up 5% in Q3 on a non-GAAP basis. Of Microsoft’s three business segments, Intelligent Cloud was the top performer. Sales in the unit grew 3% (up 8% in constant currency) to $6.1 billion. The Intelligent Cloud segment includes server products and services such as Windows Server, SQL Server, System Center and Azure. Microsoft’s Productivity and Business Processes unit saw sales rise 1% (up 6% in constant currency) to $6.5 billion. Office 365 consumer and commercial offerings and Dynamics CRM Online were big contributors in the quarter. Microsoft’s More Personal Computing unit increased sales by 1% (up 3% in constant currency) to $9.5 billion. The unit includes Windows software, PC and phone hardware, Bing search and Xbox gaming.