Amazon the world's largest online retailer has reported a wider third-quarter loss than analysis expected and gave a disappointing holiday forecast.
Investors are increasingly irked by Amazon's strategy of investing heavily in new products and services to spur revenue growth while reporting quarter after quarter of losses or thin profit. The stock price tumbled 7% in morning trading on top of the 22% decline the stock has already suffered this year.
For years, Amazon's strategy has been spending the money it makes to grow and expand into new areas. It launched a smartphone, the Fire, this summer and has been offering a set-top video-streaming device, a streaming video service and several tablets and e-book readers.
The company has also been investing in services for its $99-a-year loyalty programme Prime. It has added a grocery delivery services and music streaming for Prime members as well as offering original TV shows. But all of those initiatives cost money and time to develop. And not all of them have been hits.
The company's splashy launch of its Fire phone was quickly followed by mediocre reviews and a steep price cut to entice buyers.
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