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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 217.15-2.5%Nov 20 3:59 PM EST

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To: Arik T.G. who wrote (10150)7/13/1998 11:06:00 AM
From: Rob S.  Read Replies (1) of 164684
 
Very nice summation of the fundamental outlook. I can go along with the sales growth outlook as being possible but still highly speculative this far ahead in the game. How many stocks are valued based on mere sales and earnings possibilities five years out? Of course, until internet stocks got speculated out of control only a few instances of this degree of rampant speculation have occurred. Each time that happened the stocks got taken down.

What I doubt will occur is being able to maintain 20% margins. Company management has already warned analysts that margins are expected to be lower in the future. I think the competitive nature of the net will notch them down to 15% at best. I suppose that is why management is grasping at straws in saying that they will add cigars, wine, toys, etc. that they hope can add healthier margins that will protect them from the onslaugth of competition.

Go Amazon.com!!! Rally to 130?!!! (shorter's paradise)
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