Zoom Earnings Top Analyst Estimates and Amazon is One Step Closer to Delivering Your Package Via Drone.
Zoom Video Communications shares rose more than 25% in after-hours trading Monday after the company reported their 2nd quarter earnings. Zoom’s video-calling software business was positioned to take advantage of life during quarantine but their earnings release shocked investors and analysts by the numbers.
In the second quarter of 2020, revenue grew by 355% on an annualized basis. The company’s active users are up 4700% year over year and averaged 148.4 million active users in the quarter. Since the beginning of the year, Zoom shares are up over 360%. CEO Eric Yuan must be zooming in on customer retention right about now.
Mailmen are shaking in their boots after Amazon received federal approval to operate its fleet of Prime Air delivery drones. The approval gives Amazon the ability to carry property on small drones “beyond the visual line of sight” of the operator.
To be clear, Amazon’s Prime Air fleet isn’t ready to deploy drone package deliveries at scale. So don’t be expecting your dog to be barking up to the sky any time soon. Regardless, this is great news for the tech space as a whole. The world that old school sci-fi movies envisioned for 2020 is coming together one step at a time.
I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.