Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Eric Wells who wrote (74708)	8/19/1999 5:11:00 PM
From: Bill Harmond	Read Replies (2) \| Respond to of 164684

I don't think Blodget covers eBay, but I think you're on the right track! Your variables stink, though, and nobody needs no stinking variables. :)

To: Eric Wells who wrote (74708)	8/19/1999 10:49:00 PM
From: Dwight E. Karlsen	Read Replies (1) \| Respond to of 164684

Eric, re >>Does Blodget use the auction count number in his FA analysis for determining market valuations and stock price targets of internet auction companies? Something like: [Number of Auctions (2,600,000)] x [Average current bid per auction ($0.01)] x [Number of investors that believe eBay's PE should be above 2000 (562,692)] = $14.63 billion - amazingly eBay's market valuation at the end of the day today.<< I think that is probably very close to the correct formula, but I think a better metric variable for that third item (Number of investors...) might be [Number of glass ashtrays and broken sofas sitting at garage sales all through the USA on any given day, all items of which e-bay "investors" believe will one day be auctioned off on e-bay (562,692)]. Amazingly, I come up with the same market valuation for EBAY as you did, using that variable as a variation on your formula: $14.63 billion.