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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 229.12-0.2%Nov 26 3:59 PM EST

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To: Sarmad Y. Hermiz who wrote (58120)5/24/1999 1:41:00 PM
From: Rob S.  Read Replies (1) of 164684
 
I agree.

There are several reason why AMZN will continue to move down over the course of the next 2-4 months: 1] The boom in ecommerce stocks caused by the seasonal upsurge of late last year has worn off. Ahead is the relatively slack growth of the summer. 2] Analysts were caught with their pants down when Amazon increased loss projections. It was more that the anals were shown to be wrong than the fact of the losses. Amazon has always been about losses but the analyts have bought into the story like little kids being read a fairy tale. In this fairy tale, Goldylocks will probably get eaten by the big bad wolf (severe price competition and mounting expense). 3] The tremendous flow of money into U.S. equities has been dampened by moderating interest rates, increased attractiveness of foreign equities, and increased attractiveness and lower risk of cyclical stocks and value plays.

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School is out for summer.
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