Based on my understanding of Amazon's strategy, this is bad news and it raises a lot of questions. The most charitable explanation is that they planned their spending poorly and were not able to match profits - an error which may be a fire-able offence since it could costs hundreds of millions of dollars.
Have they run out of ideas to invest in? Why are they suddenly changing strategy and forcing their investors to eat massive taxes on retained earnings?
Alternatively, are they saving up for some massive investment in the second half of the year?
Have they run out of ideas to invest in? Why are they suddenly changing strategy and forcing their investors to eat massive taxes on retained earnings?
Alternatively, are they saving up for some massive investment in the second half of the year?