SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 229.12-0.2%3:59 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Dwight E. Karlsen who wrote (31689)12/29/1998 10:38:00 PM
From: Peter J Hudson  Read Replies (3) of 164684
 
The DLJ piece was voodoo accounting. The whole premise was that Amazon has a superior model because it will have (after we adjust accounting methods) a high return on assets (ROA). The idea is assets are bad because having assets lowers your ROA. The valuation of a viable operation should include ROE & ROA calculations, but the calculations are only meaningful if there are tangible assets and equity. I would appreciate a review of the article by a CPA if we have any lurking.

Pete
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext