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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 227.90+0.4%3:59 PM EST

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To: McNabb Brothers who wrote (11322)7/22/1998 6:00:00 PM
From: Tradegod   of 164684
 
I think it crashes tomorrow. Highlights from the conference call seem
to indicate caution from Bezos on rate of growth and competition from
Barnes and Nobles et al.

My analysis shows phenominal growth rate to be slowing.
For instance.
Year to Year Comparison 97 to 98
1Q 2Q
Revenue 446% 329%
Accounts 446% 410%
Rev/Share 355% 281% share creep

Stock Price 300% a 1000% b

a. The rate of growth in revenues and accounts is 1.5 times the stock
price appreciation during first quarter.
b. The rate of growth in revenue is .3 times the stock price
appreciation.

Sequential Comparison (1Q to 2Q)
97 98
Revenue 68.9% 33%
Accounts 79% 34%
Rev/Share 54% 29.5%
Stock Price na 300%

This last table is significant; the sequential quarter rate of growth
has dropped in half, but the stock has tripled. Losses have increased,
share creep has continued. Dilution is troubling. Losses would have
been over .46 if they hadn't added 1.4 million more shares. Funny how
this spins to make the losses look better.
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