Amazon’s stock jumps by 14% following unexpected quarterly profits

Despite disappointing holiday sales and the utter failure that was the Fire Phone, Amazon managed to turn out an unexpected profit last quarter thanks in large part to Amazon Prime. Investors were clearly happy with the results as the company’s stock shot up by more than 14% the day after the announcement. 

Amazon turned an unexpected profit during its holiday quarter, and Wall Street has responded by driving the company’s stock up more than 14 percent in the day following the news. The Seattle-based tech giant reported earnings yesterday of 45 cents a share, blowing out earnings expectations of 17 cents a share. The profits come during what’s traditionally Amazon’s biggest quarter of the year, thanks to the holiday shopping season. What’s more, membership in Amazon Prime grew 53 percent over the course of 2014, even as Amazon raised the price for its free shipping service by $20 to $99 a year.