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

To: J. C. Dithers who wrote (4465)	8/4/1999 2:41:00 PM
From: Doug Fowler	Read Replies (3) \| Respond to of 7772

Even at these prices, eBay still has more than a $10 billion stock market capitalization. Considering that they will do about $200M in sales this year, that is still a 50:1 Price/sales ratio. Before the Internet craze, that was a huge ratio.

To: J. C. Dithers who wrote (4465)	8/5/1999 12:24:00 PM
From: paulmcg0	Respond to of 7772

"Comparing U.S. stock market to Thailand stock market of two years ago?" Actually, I was comparing market collapses, not necessarily the markets. The collapse of the Thai stock market and the ongoing US collapse will probably play out in similar ways. (BTW, the Stock Exchange of Thailand is quite high tech -- I saw their collapse happen via the real time data coming from the SET, fed into a telecom network controlled by HP equipment.) There's a lot wrong with the US markets right now -- do some browsing around fiendbear.com and you'll see plenty of things that might jar your "Don't worry, be happy" attitude. Anyway, here's what your likely to see as the US market goes down: * A general downward trend, with occasional up days, where people get fooled into thinking the worst is over. * Margin calls all over, which leads to stocks getting dumped. * Strong imbalances between the number of people who want to sell a share and those who would buy it, leading some of the sellers to dump their shares at any price they can get. * Lots of trading activity with money disappearing like mad. One metaphor I think represents this, is what happens when liquid nitrogen is poured out at room temperature -- it bubbles violently then disappears without leaving a trace. I've been trying to estimate the losses of the last few days without a lot of luck, but perhaps on the order of 10 billion dollars a day or more in the US markets.