Amazon (AMZN, Tech30) shares bolted up by about 18% in extended trading after it released better-than-expected earnings on Thursday. If the shares hold onto those gains at the open, Amazon's market capitalization could trounce Wal-Mart's (WMT), making it the biggest retailer by value in the world.
Based on the after-hours spike, Amazon's market cap is now worth about $264 billion. Wal-Mart is worth $233.5 billion. Looked at another way, Amazon grew by about $36 billion in the first half hour after its earnings crossed. For comparison, Twitter's market cap is $23.5 billion.
How is market cap really relative to a company's performance? I prefer to look at operating earnings and revenues. What if we compare Amazon to Walmart now with these indicators, huh?
"What if we compare Amazon to Walmart now with these indicators, huh?" Nothing really changed. It is just nice news for AMZN holders =)