I've been lurking for a while, but just to make a comment:
Anyone expecting this auction site to be another Ebay is kidding themselves. I see it as a practical tool to address the issue of obsolescence, retail preference curves, etc. These things are faced by all retailers including big plays like Walmart. Most address it via a clearance bin, or page on their website. I prefer this. It is more "fun".
Marie, if you think you are educating us with your view that certain companies whose share prices have been influenced by internet hype will eventually tank... you are kidding yourself. You are simply echoing mass-media consensus (watch CNBC lately). I think most on this site would agree that most of these stocks are getting ahead of themselves on valuation... So what? SHRP looks like a value play to me relative to several others. The website has brought new business. I know this as a Canadian as I have nevrer seen a SHRP store in this country (might be one, not in my city). Lets not forget other countries. You do not like their products, so what? They are high margin items, not likely to appeal to every one - the internet is an excellent forum for this as those that want them can always get them. SHRP does not have to compete with companies like Walmart and Costco that can thrive on narrow margins and intense same product competition. If same store sales are flat to declining, this only reinforces the company's shift towards the internet. Give the people what they want - this is a key concept in retail, yet you seem to view it as manipulative. Re: Insider selling... who gives a shit. Some of these guys have options that when reach an exercise date, bring with them a tax liability... what would you do? Exercise and sell at least some of them. I can give you several examples of stocks that have run up after insiders have sold. These guys have no better information on how this internet craze will continue to influence investors than you do.
I'm not saying anyone should buy or sell this stock, I don't care. I think a lot of these companies are over-valued so there is risk. But so-far the trend to over-valuation is continuing so enjoy the ride. At least I CAN value this stock since it has and likely will continue to have EARNINGS and even EARNINGS GROWTH... a rare concept lately.
In short, my advice to all of you... Buy the companies you like, sell the ones you hate. Have fun, and keep some perspective.
PS: Marie, you should put your money where your mouth is, if you aren't short, you should be. You hate the stock. Otherwise, restating your opinion ad nauseum is more annoying than anything Dicky is doing and certainly is not something I will begin. |
