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Technology Stocks : eBay - Superb Internet Business Model
EBAY 84.29+0.6%11:15 AM EST

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To: q39 who wrote (7207)3/5/2003 11:43:54 PM
From: Nello Filippone   of 7772
 
q93,

I wish positive earnings expectations meant something. Take a look at the Integrated Oils (OIX). These companies are crushing expectations, hemorrhaging money and only in the last couple weeks have came off multi-year lows. I don't expect a company like Exxon Mobil to trade at the high-end of it's range in this environment, but just bouncing off of it's three year low does not make much sense either.

In the long run valuation catches up or down to growth, it never fails ... you just need patience. In Ebay's case, it's great company but who really thinks that it will continue to grow at a rate deserving of a 90 multiple?

Here's a short list of some high fliers (real companies, not scams) from the past that have been reined back to earth ... Yahoo, Amazon, Krispy Kreme and even Dell could not grow forever ... time always wins out.
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