File Under: Has The Amazon Roach Motel Lit The "No-Vacancy" Sign Yet?
>> Dow Jones Newswires -- June 16, 1998
Amazon.com Up; Short-Covering, Investor Enthusiasm
Cited
By NICK WINGFIELD
Dow Jones Newswires
The Wall Street Journal Interactive Edition
SAN FRANCISCO (Dow Jones)--Shares of Amazon.com Inc. (AMZN) were up 10% in
afternoon trading Tuesday, continuing a two-day rally analysts attributed to a combination of
short-covering and investor enthusiasm for the Internet merchant's new on-line music store.
On Monday, shares of Amazon jumped 4 3/4, or 7.8%, to close at 65 3/4. Recently, the shares
were up 6 3/8, or 9.7%, to 72 1/8.
The company made its name selling books over the Internet, but last Thursday, it took the wraps
off a slick new storefront where shoppers can pick from a catalogue of more than 100,000
compact discs.
Analysts said the relatively limited supply of shares in Internet companies, including Amazon,
could also be contributing to the spike in the merchant's stock.
"There's just no float," said Henry Blodget, an analyst at CIBC Oppenheimer Corp. "The
smallest demand can drive a stock four points."<<
[Wow! But, come to think of it: what will a large *supply* do when it starts going down?]
>>An Amazon spokeswoman said the company had made no announcement in the past two days
that would be affecting its stock price.
-Nick Wingfield; 201-938-5099<< |
