The Income Statement - Post and responses

Divya Petchiappan 

Week 2 - Amazon

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From Amazon’s balance sheet it is seen that in the last three years their gross profit has almost doubled, in 2017 it had a gross profit of 40,683,000 while currently the value is 81,889,000. While the gross profit has doubled the net income available to common stockholders had a significant increase since 2017, the price has increased from 3,033,000 in 2017 to 13,180,000. With the ongoing pandemic many people have turned to online shopping hence the reason Amazon has continued to make a profit. Overall Amazon has shown continuous growth over the last three years and its balance statement shows that will continue to grow in the upcoming years.

Romualdo Ancog 

Week 2 : AMD

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    The story of AMD last five years is told from the Gross Profit and especially from the Net Income Common Stockholders. The gross profit shows that the gross profit increased over 1.5 billion dollars throughout the last three years. This is a massive positive and shows that the company as a whole is doing great. The next more significant indicator, even above their gross profit is their net income to common stockholders.   Here we see an increase in the price of 43,000,000 in 2017 all the way to 341,000,000 in 2020. The massive increase shows that the stockholder is getting more to their stock. It indicates that the market has high values of this company and is investing heavily in them.     This financial story tells a company struggling that then rose to fame through a new product or innovation, which in the case of AMD was the release of their new processor line. These new lines of processors were widely successful and popular. Overall, the financial story shows a large company's story that explosion in both gross profit and stock price due to the release of a new product. 

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