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Technology Stocks : OnSale Inc.
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To: msantben who wrote (1347)7/22/1998 3:58:00 AM
From: StaggerLee  Read Replies (2) of 4903
 
ONSL doesn't get the same valuations as other 'net stocks because it doesn't generate the same margins. Whereas YHOO generates about 99% gross margins on its (meager) ad sales, ONSL only generates 9% on merchandise sales (and can therefore realistically can never generate a profit).

THAT's why the PS ratio is lower here.
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