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Technology Stocks : America On-Line: will it survive ...?

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To: Bharat Bhatia who wrote (355)10/15/1996 5:15:00 PM
From: Flan   of 13594
 
In the last two weeks the stock has sunk from $35 to $23, a considerable move for this stock. At some point buyers were going to appear; after the stock started showing strength in the early hours of trading I am sure there was a considerable amount of short covering as people tried to lock in profits. This day was long due, I expect the stock to trade up a little in the coming days but then continue to decline.

I have no postion in this stock, but I see alot of problems ahead for this company, and there multi million dollar advertising campaign is seen by me as a large waste of money. They should be more concerned with addressing issues that will stem the loss of their current customers, not spending hundreds of dollars to attract customers. ( who will most likely abandon the service once they get educated to the internet and realize there are more attractive alternatives available to them.
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