From the National Post
NP says Bid.Com vies for Internet auction supremacy
Bid.Com International Inc BII
Shares issued 38,963,434 Apr 28 close $24.85
Thu 29 Apr 99 In the News
The National Post reports in its Thursday, April 29, edition that the
proliferation of on-line auctioneers over the past 18 months has been
incredible, ranging from Web sites that offer little more than on-line
garage sales, to electronics clearing houses, to showrooms for oddball
collector items, to major art and antique sales. The National Post's Ian
Karleff writes that investors are making valuations on these stocks based
almost completely on future potential and not on fundamentals. Of the six
publicly traded Internet auctioneers, Cyberian Outpost, Onsale,
Egghead.com, Ubid, Bid.Com International, Amazon.com and eBay, investors
are applying revenue multiples from as little as two times to a massive 533
times. Mr. Karleff says brand name recognition is crucial to success, and
that is the underlying factor for today's stock valuations. Merrill Lynch &
Co. analyst Mark Milller says the indirect benefit to brands will be the
increased discrimination by consumers due to the "clutter" that accompanies
too much choice.
(c) Copyright 1999 Canjex Publishing Ltd. canada-stockwatch.com
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