Amazon Shares Fall On Q3 Earnings Miss As Big Tech Market Rout Continues

Amazon shares fell as much as 9% in after-market trading Thursday after the tech giant reported third-quarter earnings below Wall Street analysts’ expectations.

Earnings per share came in at $1.89 on a diluted basis, down from $1.95 in the year-ago quarter, while total revenue climbed 12% to $201.9 billion. The consensus forecast from analysts called for earnings per share of $1.97 and $202.25 billion in revenue.

In its earnings release, Amazon noted that the downturn in earnings resulted mainly from the $9.5 billion in pre-tax gains in the third quarter of 2025 related to investments in AI mega-startup Anthropic.

Along with the disappointing financials, Amazon also said its fourth-quarter revenue will be between $240 billion and $247 billion, suggesting it has a good chance to fall below the Street outlook of $244.5 billion.

Amazon stock dropped below $230 after hours after surrendering 4% during the regular trading day. The after-hours decline improved to 6% but shares were still down ahead of a scheduled conference call with top execs at the top of the next hour.

Investors have been punishing tech stocks this week as they seek indications of returns on the sector’s heavy spending on artificial intelligence. Google parent Alphabet saw its shares plunge 12%, a rare double-digit move, after the company missed estimates on Wednesday.