The 2020 holiday season could be a record-breaker for Amazon and Apple, both of which stand to report over $100 billion in revenue for the fourth quarter if predictions go right, according to Bloomberg.
Bloomberg reported that the watershed moment for the stock market would also underscore exactly how much of the market the two tech giants corner.
In results last week, Amazon predicted revenue forecasts of $112 billion to $121 billion for the period ending in December. Wall Street is looking for revenue of around $119 billion, Bloomberg reported.
Apple didn’t give a revenue expectation, but analysts expect the company to bring in revenue of around $101.6 billion on average, according to Bloomberg.
Bloomberg reported that Amazon is likely to see tailwinds from the pandemic-related boost of eCommerce as people shift to digital modes of shopping to avoid going out in public, along with the Prime Day event being a more normal boost. Apple, meanwhile, will see heavy revenue from the iPhone 12, expected to result in a deluge of sales. Both companies came close to hitting $100 billion in recent quarters.
In recent months, with the huge boosts of revenue, Amazon has focused on fulfillment, PYMNTS reported, with an emphasis on continuing to meet demand for the hyper-charged holiday shipping season despite continued reduced warehouse space.
Apple, meanwhile, recently outsold expectations on services, iPads and Macs, although the iPhone missed the mark slightly because of the iPhone 12 release delay due to the pandemic, PYMNTS reported.
The $100 billion mark, despite its prestige, isn’t unprecedented, Bloomberg reported. Before 2013, ExxonMobil hit the mark numerous times, and Walmart has hit it consistently for decades. Exxon’s current revenue isn’t even close to that, being around $50 billion, although Walmart is expected to stay on track in the upcoming quarter with a forecast of $130 billion.
And having three U.S. companies all valued that high, according to the report, would be “unparalleled.”