"But I am monitoring if there is a sustained multiyear period of weakness in the stock, at what point will investors start looking to Andy and start assigning blame."įorte isn't alone. "Today, I still feel like the answer is no," said Forte, who recommends buying the stock. Davidson, said the new CEO still gets the benefit of the doubt. When asked if Jassy is responsible for warehouse overexpansion and recent weakness in Amazon's business, Tom Forte, an analyst at D.A. Investors are now considering whether the poor results are a reflection of management struggles or merely a brief setback as the company emerges from a global pandemic and reckons with a sputtering economy. With the slowing in its core business, Amazon announced in April that it had booked its weakest quarterly revenue growth since the dot-com bust in 2001, and its first quarterly loss since 2015. And after months of worker shortages, the company is now overstaffed in its fulfillment network, as the cooling of e-commerce means that many recent hires are no longer needed. Amazon is now shedding some of the warehouse space it added during the pandemic. The company had just notched its first $100 billion quarter, reflecting the pandemic-driven surge in e-commerce activity that pushed Amazon to expand at a breakneck pace. Last July, when Jassy officially took over as CEO, Amazon's business was stronger than ever. Meanwhile, some of the company's most senior executives have hit the exits. Amazon is challenging the union effort in court. And Jassy is grappling with a labor battle that culminated in a Staten Island, New York, warehouse voting in April to form the company's first U.S. There's also the threat of antitrust regulation as lawmakers get closer to passing landmark legislation that seeks to curb the power of Amazon and other tech giants. From the ongoing fallout of the Covid-19 pandemic, record inflation and rising interest rates to supply chain constraints and the war in Ukraine, Amazon faces the prospects of rising costs and slower consumer spending all while investors rotate out of the tech stocks that drove the recent bull market.īut it's not just the economy. Personal Loans for 670 Credit Score or LowerĪs just the second CEO for Amazon since Bezos started the company in 1994, Jassy is staring into a macroeconomic hurricane entirely out of his control. Personal Loans for 580 Credit Score or Lower In 2016 alone, Jassy earned over $36 million while Bezos made about $1.7 million in total, according to CNBC.Best Debt Consolidation Loans for Bad Credit He has raked in a total of more than $20 million within the past three years. In his letter to staff announcing his exit as CEO, Bezos said Jassy will be an "outstanding leader." Jassy is one of the highest-paid executives at Amazon. Jassy served as a so-called "shadow" advisor to Bezos at one point, joining the chief executive in high-level meetings. Analyst Dan Ives described him to Insider in a previous interview as "one of the most powerful leaders not just within the cloud and tech sector but in the world of business." Jassy is a close confidant of Bezos. The 53-year-old built AWS from the ground up within the past two decades and became CEO of the cloud platform in 2016. Jassy joined Amazon in 1997, the same year the company went public. Jassy has been at Amazon for about as long as Bezos, 24 years to be exact. Here are 5 things to know about the new CEO, based on what over a dozen current and former employees told Insider in interviews published in January. Account icon An icon in the shape of a person's head and shoulders.
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