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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 249.12+0.3%3:05 PM EST

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To: Eric Wells who wrote (78001)9/22/1999 12:11:00 PM
From: Mark Fowler  Read Replies (1) of 164684
 
Thanks Eric that was good info.

So, at best, Chemdex is after a $1.5 billion opportunity. But that would be
assuming zero competition, and both online and offline foes lurk. So
perhaps Chemdex, with estimated 1999 revenue of $21 million and 2000
revenue of $130 million, can eventually get half that market and earn, say,
$13.5 million, after taxes. That kind of profit at 50 times earnings (for a
5% gross margin company?) would yield a market capitalization of $675
million when it's profitable (in 2002 or 2003). <<

I wouldn't be interested in stock like this, Imo.
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