Deer Jumper, we are in agreement in the market position and entry barrier CKFR enjoys. However, both CKFR and YHOO share the same "over priced" cap, in my view. People buy these stocks not because they are looking for earnings in next 12 or 24 months, they are looking ahead for many years. Have people over paid when they buy those stocks ? Possible. I just bought CKFR at >$28 per share. (But I don't have any vested interest in Yahoo or AOL).
You may say CKFR may be worth it. I may agree again, because better news are still waiting us in 1998. First time profitability, explosive growth, and gaining of popularity. Our difference is not in CKFR, ours is mainly in Yahoo or AOL.
Say Yahoo, they enjoy a 40% market share (by page views?). By year 2000, the majority of news or advertisement will be conveyed by internet according to some experts. This would translate into huge market access for Yahoo aand advertisment revenue.
By the way, the technology industry turn to make a leader bigger and bigger, and make a follower smaller and smaller. Look at CSCO and their competitors. I think you will probably know what I mean. So we can't compare Yahoo to Lycos or its smaller search engines.
I intended to short Yahoo myself. But after repeated thoughts, I gave up that idea and I am glad I did so far. Would the situation change when Yahoo goes up to $70 or even more, it might. But I just have to watch the overall sentiment of the market. Right now, I am afraid to say the internet stocks are the untouchable stars.
So please send me an invitation when you are ready to short Yahoo. |
