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Non-Tech : Tulipomania Blowoff Contest: Why and When will it end? -- Ignore unavailable to you. Want to Upgrade?

To: bobby beara who wrote (2100)	10/24/1999 11:05:00 PM
From: doormouse	Read Replies (1) \| Respond to of 3543

reminds me of scum paparazzi

To: bobby beara who wrote (2100)	11/10/1999 8:08:00 PM
From: Sir Auric Goldfinger	Read Replies (1) \| Respond to of 3543

The official textbook of the Tulip thread: "`Internet Bubble' Author Says Sell Stocks Now: Bloomberg Forum New York, Nov. 8 (Bloomberg) -- Investors should sell Internet stocks now before a stock market frenzy fizzles after the smart money has already bailed out, said Anthony B. Perkins, co-author of ``The Internet Bubble.' ``The public is buying stocks after they've been hugely inflated on the first day of trading,' he told the Bloomberg Forum. Venture capitalists, some of whom invested in Internet stocks for pennies, sold out for billions. ``You have to look at the overall requirements of these companies. Look at the growth they have to experience in order to earn the values they have today. The math doesn't add up,' Perkins said. Subtitled ``Inside the Overvalued World of High-Tech Stocks and What You Need to Know to Avoid the Coming Shakeout' (Harper Business, $27), the book has a list of 133 Internet stocks, from Amazon.com Inc. to ZDNet Inc., compiled by Perkins, editor of Red Herring, a Silicon Valley magazine, and his brother and co-author Michael C. Perkins. ``Sell right now,' said Perkins, 41. Silicon Valley insiders predict a sharp decline in Internet stocks in the first quarter of 2000, he said. The Bloomberg U.S. Internet Index of 178 companies has gained more than 90 percent this year. The author said the Oct. 27 announcement by Amazon.com, the No. 1 online retailer, that fourth-quarter spending would exceed estimates, was a barometer for other Internet stocks. Similar warnings from another Internet ``big brand' like Yahoo! Inc., the top directory, or America Online Inc., the No. 1 online service, could pop the bubble. Rise and Fall Perkins said investors who bought recent initial public offerings of Webvan Group Inc., Akamai Technologies Inc. and Sycamore Networks Inc. should recall what happened to investors in TheGlobe.com Inc., a designer of personal sites on the World Wide Web. TheGlobe.com's stock soared a record 606 percent in its IPO on Nov. 13. The total annual return now exceeds 154 percent, far below the initial pop. Venture capital investors sold out in the IPO, and investors at inflated prices at the offering quickly sold as well, Perkins said. Meanwhile, the writer said, companies with steady sales and earnings increases, such as Cisco Systems Inc., the top Internet equipment maker, used the mania for technology stocks to ``buy companies to replace the research and development efforts of the past.' Cisco last week bought closely held Cerent Corp. for $7.29 billion, its most expensive acquisition, to get its fiber- optic switching technology. Cerent Chairman Vinod Khosla, a partner of Kleiner, Perkins, Caufield & Byers, one of the biggest venture capital firms, got $2 billion worth of Cisco stock for an investment of only $2 million, Perkins said. ``At least that's better than x-billion-dollars' worth of stock in a small, thinly traded IPO,' Perkins said. --David Zielenziger in the New York newsroom (212) 318-2304/jcn" Mr. Goldfinger highly recommends this book.