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Technology Stocks : eBay - Superb Internet Business Model -- Ignore unavailable to you. Want to Upgrade?

To: FR1 who wrote (3898)	6/28/1999 9:33:00 AM
From: Stewart Elliot	Read Replies (2) \| Respond to of 7772

>> When looking at Yahoo growth we have to keep in mind that if you have a relatively small number of auctions it is easy to double in growth. << Yahoo's growth is actually accelerating. At several hundred thousand auctions, your example has less meaning. When measuring on the basis of an absolute number of auctions, yahoo has added 100,000 more auctions than ebay in the last month - how do you explain that? Granted, at some point it does get much more difficult to maintain the growth rates but Ebay's growth is no longer impressive. >> Much harder if you have millions of auctions. ebays growth rate is steady at around 8% per month and that's incredible when you consider it is in the millions. << We have no idea what ebay's "steady" growth is at this point. Ebay's growth has declined below 8%/month based on my numbers, but I'll concede that things are jumping around too much to be sure. Even at 8%, the premium being paid for Ebay's stock can not be justified. When an investor pays as much as he/she pays for this stock, the excuse "we have too many auctions to maintain the growth" is a signal to sell the stock. (Just to be clear, I am not currently short this stock)