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Technology Stocks : GeoCities
GCTY 450.000.0%Mar 16 5:00 PM EST

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To: Jay Rommel who wrote (278)8/21/1998 2:28:00 PM
From: Sam  Read Replies (1) of 316
 
If one believes in the Internet companies, well then GCTY has to be considered because they are a top 10 site...It never cease to amaze me how people can right off a company that just went public less than 10 days ago ...

If you get a chance, read Gurley's column Above the Crowd in the current issue of Fortune. Basically says be careful to consider page views a proxy for valuations. He gives a great example (far-fetched) of a site that would give away money to visitors. Well, of course that site would garner more hits then any on the web - and if that was used to value the company, its market cap would soar. Of course, the company would never make money since it gives it away!

In many ways, this "model" is used on the internet today. It isn't money, but its e-mail, server space, etc - all backed by ad dollars.

S.
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