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Jeff Bezos, the founder and Executive Chairman of Amazon.com Inc. (NASDAQ:AMZN), saw his net worth take a plunge, alongside the shares of his company, following its second quarter results last week.
What Happened: The fourth-richest man in the world, with a net worth of $237 billion, according to the Bloomberg Billionaires Index, lost $17 billion last week on Friday, from $254 billion the prior day, after investors were unimpressed with the company’s second-quarter earnings.
The stock was down 8.27% on Friday, following the company’s results, despite it beating consensus estimates on sales and earnings.
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This was largely attributed to the slowing momentum in the company’s AWS cloud computing segment, which generated $10.2 billion in sales during the quarter, up 17.5% year-over-year, which fell short of consensus estimates at 20%.
Amazon shares currently constitute a significant chunk of Bezos’ net worth, with 884 million shares, or 8.3% of total shares outstanding, which, at the stock’s current market price, is valued at $190 billion. The rest of his fortune comprises Blue Origin, his space exploration company, which, being privately held, is valued at the cost of investment.
Why It Matters: According to analyst Eric Allen of Stealth, the market’s reaction to the company’s earnings was “totally wrong,” since this was a capacity issue, with Amazon unable to meet the growing demand for its AWS computing resources.
Amazon reported $167.7 billion in sales during the quarter, up 13% year-over-year, and ahead of consensus estimates at $161.9 billion. It posted a profit of $1.68 per share, which again beat analyst consensus estimates at $1.30.
Bezos has been consistently offloading his stake in the company he founded, having sold 95 million shares in 2024 and 2025 so far, with net proceeds of $18.2 billion.
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This article Amazon Founder Jeff Bezos Loses $17 Billion Following Company’s Mixed Q2 Earnings originally appeared on Benzinga.com
